[Federal Register Volume 60, Number 208 (Friday, October 27, 1995)]
[Notices]
[Pages 55051-55061]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-26570]



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DEPARTMENT OF JUSTICE
Office of Justice Programs
Office for Victims of Crime
[OJP NO. 1045]
RIN 1121-AA30


Victims of Crime Act Victim Assistance Grant Program

AGENCY: U.S. Department of Justice, Office of Justice Programs, Office 
for Victims of Crime.

ACTION: Final Program Guidelines.

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SUMMARY: The Office for Victims of Crime (OVC), Office of Justice 
Programs (OJP), U.S. Department of Justice (DOJ), is publishing Final 
Program Guidelines to implement the victim assistance grant program as 
authorized by the Victims of Crime Act of 1984, as amended, 42 U.S.C. 
10601, et seq. (hereafter referred to as VOCA).

DATES: Federal Fiscal Year 1996 VOCA grant program.

FOR FURTHER INFORMATION CONTACT: Jackie McCann Cleland, Director, State 


[[Page 55052]]
Compensation and Assistance Division, at (202) 307-5983.

SUPPLEMENTARY INFORMATION: VOCA authorizes Federal financial assistance 
to States for the purpose of compensating and assisting victims of 
crime, providing funds for training and technical assistance, and 
assisting victims of Federal crimes. These Program Guidelines provide 
information on the administration and implementation of the VOCA victim 
assistance grant program as authorized in Section 1404 of VOCA, Public 
Law 98-473, as amended, codified at 42 U.S.C. 10603, and contain 
information on the following: Summary of the Comments to the Interim 
Final Program Guidelines; Background; Allocation of VOCA Victim 
Assistance Funds; VOCA Victim Assistance Application Process; Program 
Requirements; Financial Requirements; Monitoring; and Suspension and 
Termination of Funding. The Guidelines are based on the experience 
gained during the first ten years of the grant program and are in 
accordance with VOCA. These Program Guidelines supersede any Guidelines 
issued previously by OVC.
    The Office of Justice Programs, Office for Victims of Crime, has 
determined that this rule is not a ``significant regulatory action'' 
for purposes of Executive Order 12866 and, accordingly, these Program 
Guidelines were not reviewed by the Office of Management and Budget 
(OMB).
    In addition, these Program Guidelines will not have a significant 
economic impact on a substantial number of small entities; therefore, 
an analysis of the impact of these rules on such entities is not 
required by the Regulatory Flexibility Act, codified at 5 U.S.C. 601, 
et seq.
    The collection of information requirements contained in the Program 
Requirements section was submitted to the Office of Management and 
Budget (OMB) for review under the Paperwork Reduction Act, codified at 
44 U.S.C. 3504(h). Approval to use the specified reports to gather 
information on the use and impact of VOCA victim assistance grant funds 
has been granted by OMB.

Summary of the Comments to the Interim Final Program Guidelines

    On May 10, 1995, the Office for Victims of Crime (OVC) published 
Interim Final Victims of Crime Act (VOCA) victim assistance Program 
Guidelines in the Federal Register, Vol.60, No.90, pages 24888 through 
24896. These Interim Final Program Guidelines were published for the 
purpose of implementing the victim assistance grant program for Fiscal 
Year 1995 VOCA victim assistance grants. State Victim Assistance 
administrators were mailed copies of the Interim Final Program 
Guidelines and asked to comment on the revised rules of the VOCA victim 
assistance grant program. OVC received 11 individual letters from 
interested individuals and organizations, met with VOCA administrators 
and VOCA subrecipients at national and regional victims conferences, 
and had conversations with almost all State VOCA administrators. In 
total, about 25 different comments, questions, and recommendations were 
received, reflecting the views of VOCA administrators familiar with the 
implementation of VOCA victim assistance grants in their own States.
    OVC appreciates the time and effort each respondent invested in 
reading and responding to the Interim Final Program Guidelines. All 
comments were carefully considered in developing these Final Program 
Guidelines. As a result, OVC rewrote, deleted, and incorporated 
additional information to clarify various sections of the Program 
Guidelines. Explanation of our resolutions and final determinations is 
provided in the following paragraphs.

A. VOCA Victim Assistance Application Process

1. Administrative Cost Provision.
    Although most respondents praised the guidance set forth in the 
Interim Final Program Guidelines implementing the administrative cost 
provision of VOCA, some respondents questioned OVC's prohibiting the 
use of these funds for indirect cost and noted that this was 
inconsistent with rules governing the use of administrative funds in 
other OJP formula grant programs. Thus, this restriction has been 
eliminated from the Program Guidelines.
2. Administrative Cost Provision for Training
    One administrator suggested that the use of administrative funds to 
pay for training should not be limited to OVC-sponsored technical 
assistance meetings, but should also apply to training on victim issues 
sponsored by organizations other than OVC. The Program Guidelines have 
been modified to reflect this allowance.

B. Program Requirements

1. Program Income
    Many respondents again expressed concern about OVC's stipulation 
that services be provided to crime victims at no charge and that any 
deviation from this provision would require prior approval of the 
Office for Justice Programs, Office of the Comptroller (OC) and OVC. 
Other respondents requested that OVC clarify the intent of this 
provision.
    OVC is mindful that some subrecipient organizations use program 
income, in part to offer additional services to crime victims, thus 
expanding available services beyond the VOCA funded position. 
Therefore, these Program Guidelines will allow State grantees to 
authorize subrecipients to generate income from VOCA-funded staff time 
under the following conditions: (1) with prior approval of financial 
and monitoring procedures by the State VOCA administrators; and (2) 
with the stipulation that no crime victim is ever denied services 
solely for lack of insurance or personal resources to cover the cost of 
the services.
    Prior to authorizing subrecipients to generate income, OVC strongly 
encourages state administrators to carefully weigh the following 
considerations:
    First, the purpose of the VOCA victim assistance grant program is 
to provide services to all crime victims regardless of their ability to 
pay for services rendered or availability of insurance or other third-
party payment resources. Crime victims suffer tremendous emotional, 
physical, and financial losses. It was never the intent of VOCA to 
exacerbate the impact of the crime by asking the victim to pay-again.
    Second, State grantees must ensure that they and their 
subrecipients have the capability to track program income, no matter 
how large or small, in accordance with Federal financial accounting 
requirements. All VOCA-funded program and match income is restricted to 
the same uses as the VOCA grant.
    Third, program income can be problematic because very few 
subrecipients have the financial mechanisms in place to track VOCA-
funded income and ensure that it is used only to make additional 
services available to crime victims. For example, VOCA often funds only 
a portion of a counselor's time. Accounting for VOCA program income 
generated by a counselor in this case is complicated, involving careful 
record keeping by the counselor, the subrecipient program, and the 
State.
2. Services, Activities, and Costs at the Subrecipient Level
    Several respondents noted that within their communities there is a 
tremendous need for outreach to identify victims of crime. The Program 
Guidelines have been modified to specify that 

[[Page 55053]]
subrecipients may use VOCA funds for presentations in schools, 
community centers, or other public forums when a primary purpose is to 
identify crime victims and provide or refer them to needed services. 
Related costs such as presentation materials, brochures, and newspaper 
notices can also be supported with VOCA funds.

C. Financial Requirements

    Several subrecipients complained that audit costs for subgrantees 
receiving more than $25,000, but less than $100,000, are often 
excessive, ranging from $5,000 to $18,000 annually. As a result, 
limited VOCA funds are supporting audit costs rather than delivering 
direct services to crime victims. Pursuant to OMB Circular-A-128, the 
Office of the Comptroller of the Office of Justice Programs, the Office 
of Management and Budget, and other federal agencies, are exploring the 
possibility of raising substantially the threshold that triggers the 
audit requirement for organizations and institutions receiving federal 
grants.
    Until a change is made, the Program Guidelines have been modified 
to remind grantees and subgrantees that agencies receiving at least 
$25,000, but less than $100,000, in a fiscal year have the option of 
performing a single audit or the less cumbersome Federal program audit. 
Rather than conducting an audit every year, grantees also have the 
option of allowing non profits to have an audit every other year for 
the previous two year period. State or local subrecipients' audits 
shall be made annually, unless the state or local government has a 
constitutional or statutory requirement for less frequent audits.

Background

    In 1984, VOCA established the Crime Victims Fund (Fund) in the U.S. 
Treasury and authorized the Fund to receive deposits of fines and 
penalties levied against criminals convicted of Federal crimes. This 
Fund provides the source of funding for carrying out all of the 
activities authorized by VOCA.
    OVC serves as the Federal government's chief advocate for all crime 
victim issues, which includes ensuring that the criminal justice system 
addresses the legitimate rights and interests of crime victims. OVC's 
program activities support this role. These Program Guidelines address 
the specific program and financial requirements of the VOCA crime 
victim assistance grant program.
    OVC makes annual VOCA crime victim assistance grants from the Fund 
to States. The primary purpose of these grants is to support the 
provision of direct services to victims of violent crime throughout the 
Nation. For the purpose of these Program Guidelines, direct services 
are defined as those efforts that (1) respond to the emotional and 
physical needs of crime victims; (2) assist primary and secondary 
victims of crime to stabilize their lives after a victimization; (3) 
assist victims to understand and participate in the criminal justice 
system; and (4) provide victims of crime with a measure of safety such 
as boarding-up broken windows and replacing or repairing locks.
    For the purpose of the VOCA crime victim assistance grant program, 
a crime victim is a person who has suffered physical, sexual, or 
emotional harm as a result of the commission of a crime.
    VOCA gives latitude to State grantees to determine how VOCA victim 
assistance grant funds will best be used within each State. However, 
each State grantee must abide by the minimal statutory requirements 
outlined in VOCA and these Program Guidelines.

Allocation of VOCA Victim Assistance Funds

A. Distribution of the Crime Victims Fund

    OVC administers monies deposited into the Fund for activities, as 
authorized in VOCA. The amount of funds available for distribution each 
year is dependent upon the total deposits into the Fund during the 
previous Federal Fiscal Year (October 1 through September 30).
    The Violent Crime Control and Law Enforcement Act of 1994 (Public 
Law 103-322, Title XXIII, Subtitle B) amended VOCA and made three major 
changes that affect the VOCA victim assistance grant program. First, 
the Director of OVC has the authority to retain up to $20,000,000 to be 
held in reserve and used in a year in which the Fund falls below the 
amount available in the previous year [Section 1402(d)(4)]. Second, the 
legislation changed the formula for allocating Fund deposits [Section 
1402(d)]. Third, State administrators of VOCA victim assistance grant 
funds may retain up to 5% of each year's grant for administrative 
purposes [Section 1404(b)(3).] Please refer to the section entitled 
VOCA Victim Assistance Application Process, B. Administrative Cost 
Provision for State Grantees for information on this provision.

B. Formula for Distributing Crime Victims Fund Deposits

    Pursuant to Section 1402(d), deposits into the Fund will be 
distributed as follows:
    1. The first $6,200,000 deposited in the Fund in each of the fiscal 
years 1992 through 1995 and the first $3,000,000 in each fiscal year 
thereafter shall be available to the Federal judicial branch for 
administrative costs to carry out the functions of the judicial branch 
under 18 U.S.C. Section 3611. See Section 1402(d)(1) of VOCA, codified 
at 42 U.S.C. 10601(d)(1).
    2. Of the next $10,000,000 deposited in the Fund in a particular 
fiscal year,
    a. 85% shall be available to the Secretary of Health and Human 
Services for grants under Section 4(d) of the Child Abuse Prevention 
and Treatment Act codified at 42 U.S.C. 5101, for improving the 
investigation and prosecution of child abuse cases;
    b. 15% shall be available to the Director of the Office for Victims 
of Crime for grants under Section 4(d) of the Child Abuse Prevention 
and Treatment Act for assisting Native American Indian tribes in 
developing, establishing, and operating programs to improve the 
investigation and prosecution of child abuse cases.
    3. Of the remaining amount deposited in the Fund in a particular 
fiscal year,
    a. 48.5% shall be available for victim compensation grants,
    b. 48.5% shall be available for victim assistance grants; and
    c. 3% shall be available for demonstration projects and training 
and technical assistance services to eligible crime victim assistance 
programs and for the financial support of services to victims of 
Federal crime by eligible crime victim assistance programs.

C. Availability of Funds

    All States, the District of Columbia, the Commonwealth of Puerto 
Rico, the U.S. Virgin Islands, Guam, American Samoa, Northern Mariana 
Islands, and Palau (hereinafter referred to as ``States'') are eligible 
to apply for, and receive, VOCA victim assistance grants. See Section 
1404(d)(1) of VOCA, codified at 42 U.S.C. 10603(d)(1).
    Funds are available for expenditure during the FFY of award and in 
the next FFY (the grant period). The FFY begins on October 1 and ends 
on September 30 of the following year. State grantees may incur 
expenses retroactively to the beginning of each year's grant, October 
1, even though the VOCA grant may not be awarded until later in the 
grant period. Under VOCA, funds that are not obligated by the end of 
the grant period 

[[Page 55054]]
must be returned to the General Fund of the U.S. Treasury. Therefore, 
State grantees are encouraged to monitor closely the expenditure of 
VOCA funds at the subrecipient level and to reallocate unexpended funds 
prior to the end of the grant period.

D. Allocation of Funds to States

    From the Fund deposits available for victim assistance grants, each 
State grantee receives a base amount of $200,000, except Palau. The 
remaining Fund deposits are distributed to each State, based upon the 
State's population in relation to all other States, as determined by 
current census data.

E. Allocation of Funds Within the States

    The Governor of each State designates the State agency that will 
administer the VOCA victim assistance grant program. That designated 
State agency establishes policies and procedures, which must meet the 
minimum requirements of VOCA and the Program Guidelines. The State 
grantee can choose to be more restrictive.
    VOCA funds granted to the States are to be used by eligible public 
and private nonprofit organizations to provide direct services to crime 
victims. States have sole discretion for determining which 
organizations will receive funds, and in what amounts, as long as the 
recipients meet the requirements of VOCA and the Program Guidelines.
    State grantees are encouraged to develop a VOCA program funding 
strategy, which should consider the following: the range of victim 
services throughout the State and within communities; the unmet needs 
of crime victims; the demographic profile of crime victims; the 
coordinated, cooperative response of community organizations in 
organizing services for crime victims; the availability of services to 
crime victims throughout the criminal justice process; and the extent 
to which other sources of funding are available for services.
    State grantees are encouraged to expand into new service areas as 
needs and demographics of crime change within the State. Many State 
grantees use VOCA funds to stabilize victim services by continuously 
funding selected organizations. Some State grantees end funding to 
organizations after several years in order to fund new organizations. 
Other State grantees limit the number of years an organization may 
receive VOCA funds. These practices are within the State grantee's 
discretion and are supported by OVC, when they serve the best interests 
of crime victims within the State.
    State grantees may award VOCA funds to organizations that are 
physically located in an adjacent State, when it is an efficient and 
cost-effective mechanism available for providing services to victims 
who reside in the awarding State. When adjacent State awards are made, 
the amount of the award must be proportional to the number of victims 
to be served by the adjacent-State organization. OVC recommends that 
State grantees enter into an interstate agreement with the adjacent 
State to address monitoring of the VOCA subrecipient, auditing Federal 
funds, managing noncompliance issues, and reporting requirements. 
States must notify OVC of each VOCA award made to an organization in 
another State.

VOCA Victim Assistance Application Process

A. State Grantee Application Process

    Each year, OVC issues a Program Instruction and Application Kit to 
each designated State agency. The Application Kit contains the 
necessary forms and information required to apply for VOCA grant funds, 
including the Application for Federal Assistance, Standard Form 424. 
The amount for which each State may apply is included in the 
Application Kit. At the time of application, State grantees are not 
required to provide specific information regarding the subrecipients 
that will receive VOCA victim assistance funds.
    In addition to the Application for Federal Assistance, State 
grantees shall specify their arrangements for complying with the 
provisions of OMB Circular A-128 (Audits of State or Local Government) 
and shall submit Certifications Regarding Lobbying; Debarment, 
Suspension, and Other Responsibility Matters; Drug-Free Workplace 
Requirements; Civil Rights Compliance; and/or any other certifications 
required by OJP and OVC.

B. Administrative Cost Provision for State Grantees

    Each State grantee may retain up to, but not more than, 5% of each 
year's grant for administering the VOCA victim assistance grant at the 
State grantee level with the remaining portion being used exclusively 
for direct services to crime victims or to train direct service 
providers in accordance with these Program Guidelines, as authorized in 
Section 1402(d)(3), codified at 42 U.S.C. 10601(d)(3). This option is 
available to the State grantee and does not apply to VOCA 
subrecipients.
    This administrative cost provision is to be used by the State 
grantee to expand, enhance, and/or improve the State's previous level 
of effort in administering the VOCA victim assistance grant program at 
the State level and to support activities and costs that impact the 
delivery and quality of services to crime victims throughout the State. 
Thus, State grantees will be required to certify that VOCA 
administrative funds will not be used to supplant State funds.
    State grantees are not required to match the portion of the grant 
that is used for administrative purposes.
    1. The following are examples of activities that are directly 
related to managing the VOCA grant and can be supported with 
administrative funds:
    a. Pay salaries and benefits for staff and consultant fees to 
administer and manage the financial and programmatic aspects of VOCA;
    b. Attend OVC-sponsored and other relevant technical assistance 
meetings that address issues and concerns to State administrators;
    c. Monitor subrecipients, Victim Assistance in Indian Country 
subrecipients, and potential subrecipients, provide technical 
assistance, and/or evaluation and assessment of program activities;
    d. Purchase equipment for the State grantee such as computers, 
software, fax machines, copying machines;
    e. Train VOCA direct service providers; and
    f. Purchase memberships in crime victims organizations and victim-
related materials such as curricula, literature, and protocols.
    2. The following activities impact the delivery and quality of 
services to crime victims throughout the State and, thus, can be 
supported by administrative funds:
    a. Develop strategic plans on a State and/or regional basis, 
conduct surveys and needs assessments, promote innovative approaches to 
serving crime victims such as through the use of technology;
    b. Improve coordination efforts on behalf of crime victims with 
other OJP Offices and Bureaus and with Federal, State, and local 
agencies and organizations;
    c. Provide training on crime victim issues to State, public, and 
nonprofit organizations that serve or assist crime victims such as law 
enforcement officials, prosecutors, judges, corrections personnel, 
social service workers, child and youth service providers, and mental 
health and medical professionals; 

[[Page 55055]]

    d. Purchase, print, and/or develop publications such as training 
manuals for service providers, victim services directories, and 
brochures;
    e. Coordinate and develop protocols, policies, and procedures that 
promote systemic change in the ways crime victims are treated and 
served; and
    f. Train managers of victim service agencies.
    State grantees are required to notify OVC of the decision to use 
administrative funds prior to charging or incurring any costs against 
this provision. State grantees may notify OVC when the decision is made 
to exercise this option or at the time the Application for Federal 
Assistance is submitted.
    Each State grantee that chooses to use administrative funds is 
required to submit a statement to OVC describing:
    1. What amount of the total grant will be used;
    2. How the State grantee intends to use the funds and the types of 
activities that will be supported; and
    3. How these activities will improve the administration of the VOCA 
program and/or improve services to crime victims.
    State grantees may choose to award administrative funds to a 
``conduit'' organization that assists in selecting qualified 
subrecipients and/or reduces the State grantee's administrative burden 
in implementing the grant program. However, the use of a ``conduit'' 
organization does not relieve the State grantee from ultimate 
programmatic and financial responsibilities.

C. Use of Funds for Training

    State grantees have the option of retaining a portion of their VOCA 
victim assistance grant for conducting State-wide and/or regional State 
training(s) of victim services staff. The maximum amount permitted for 
this purpose is $5,000 or 1% of the State's grant, whichever is 
greater. State grantees that choose to sponsor State-wide or regional 
training(s) are not precluded from awarding VOCA funds to subrecipients 
for other types of staff development.
    State grantees must submit a training proposal to OVC for each 
event to be sponsored under this option. OVC will review each proposal 
to identify other sources of assistance and support that may be 
available such as trainers or resources from the OVC Resource Center. 
Each training activity must occur within the grant period, and all 
training costs must be obligated prior to the end of the grant period. 
VOCA grant funds cannot be used to supplant the cost of existing State 
administrative staff or related State training efforts.
    Specific criteria for applying for training funds will be given in 
each year's Application Kit. This criteria may include addressing the 
goals, the needs of the service providers, how funds will be used, and 
how any program income that is generated will be used.
    The VOCA funds used for training by the State grantee must be 
matched at 20%, cash or in-kind, and the source of the match must be 
described.

Program Requirements

A. State Grantee Eligibility Requirements

    When applying for the VOCA victim assistance grant, State grantees 
are required to give assurances that the following conditions or 
requirements will be met:
    1. Only eligible organizations will receive VOCA funds and these 
funds will be used only for direct services to victims of crime, except 
those funds that the State grantee uses for training victim service 
providers and/or administrative purposes, as authorized by Section 
1404(b) codified at 42 U.S.C. 10603(b). See section E. Services, 
Activities, and Costs at the Subrecipient Level for examples of direct 
services to crime victims.
    2. VOCA crime victim assistance grant funds will enhance or expand 
services and will not be used to supplant State and local funds that 
would otherwise be available for crime victim services. See Section 
1404(a)(2)(c), codified at 42 U.S.C. 10603(a)(2)(C). This supplantation 
clause applies to State and local public agencies only.
    3. Priority shall be given to victims of sexual assault, spousal 
abuse, and child abuse. Thus a minimum of 10% of each FFY's grant (30% 
total) will be allocated to each of these categories of crime victims. 
This State grantee requirement does not apply to VOCA subrecipients.
    Each State grantee must meet this requirement, unless it can 
demonstrate to OVC that: (1) a ``priority'' category is currently 
receiving significant amounts of financial assistance from the State or 
other funding sources; (2) a smaller amount of financial assistance, or 
no assistance, is needed from the VOCA victim assistance grant program; 
and (3) crime rates for a ``priority'' category have diminished.
    4. An additional 10% of each VOCA grant will be allocated to 
victims of violent crime (other than ``priority'' category victims) who 
were ``previously under served.'' These under served victims of either 
adult or juvenile offenders may include, but are not limited to, 
survivors of homicide victims, or victims of assault, robbery, 
intoxicated drivers, bank robbery, and elder abuse. For the purpose of 
this program, elder abuse is defined as the abuse of vulnerable adults. 
Vulnerable adults are those individuals who do not have the mental and/
or physical capacity to manage their daily needs, and who are subjected 
to either physical or emotional abuse by a guardian or caretaker.
    To meet this under served requirement, State grantees must identify 
crime victims by type of crime. Each State grantee has latitude for 
determining the method for identifying ``previously under served'' 
crime victims, which may include public hearings, needs assessments, 
task forces, and meetings with State-wide victim services agencies.
    Each State grantee must meet this requirement, unless it can 
justify to OVC that (1) services to these victims of violent crime are 
receiving significant amounts of financial assistance from the State or 
other funding sources; (2) a smaller amount of financial assistance, or 
no assistance, is needed from the VOCA victim assistance grant program; 
and (3) crime rates for these victims of violent crime have diminished.
    State grantees may fund services to victims with specific 
demographic profiles and use those services to meet the ``previously 
under served'' requirement. However, State grantees must identify the 
type of violent crime to which these victims are subjected.
    5. Appropriate accounting, auditing, and monitoring procedures will 
be used at the State grantee and subrecipient levels so that records 
are maintained to ensure fiscal control, proper management, and 
efficient disbursement of the VOCA victim assistance funds, in 
accordance with the Financial and Administrative Guide for Grants 
(M7100.1D), effective edition.
    6. Compliance with all Federal laws and regulations applicable to 
Federal assistance programs and with the provisions of Title 28 of the 
Code of Federal Regulations (CFR) applicable to grants.
    7. Compliance by the State grantee and subrecipients with the 
applicable provisions of VOCA and the Final Program Guidelines.
    8. Programmatic and financial reports shall be submitted. (See 
Program Requirements and Financial Requirements for reporting 
requirements and timelines.)
    9. No person shall, on the grounds of race, color, religion, 
national origin, handicap, or sex, be excluded from participation in, 
denied the benefits of, 

[[Page 55056]]
subjected to discrimination under, or denied employment in connection 
with, any undertaking funded in whole or in part with VOCA victim 
assistance grant funds.
    10. A copy of a finding will be forwarded to the Office of Civil 
Rights (OCR) for OJP in the event a Federal or State court or 
administrative agency makes a finding of discrimination on the grounds 
of race, religion, national origin, sex, or disability against a 
recipient of VOCA victim assistance funds.
    11. Immediate notification will be given to OVC in the event of a 
finding of fraud, waste, and/or abuse of VOCA funds. Additionally, OVC 
will be apprised of the status of any on-going investigations.
    OVC encourages State grantees to coordinate their VOCA assistance 
and compensation activities. Coordination may include activities such 
as: meetings; training activities for direct service providers on the 
general parameters of the State compensation agency's program (e.g., 
eligibility criteria, completion of claims, and time frames for 
receiving compensation); providing information on VOCA victim 
assistance services within the State; and developing joint guidance, 
where applicable, on third-party payments to VOCA assistance 
organizations.
    OVC also encourages State grantees to coordinate their activities 
with the Victim/Witness Coordinator staff within U.S. Attorney Offices 
to ensure that the Coordinators are aware of available resources for 
victims of Federal crime. Such coordination may include providing 
Coordinators with a list of VOCA-funded organizations, co-sponsoring 
training activities, and inviting Coordinators to serve on review 
panels that select the organizations to receive VOCA funds.

B. Subrecipient Organization Eligibility Requirements

    VOCA establishes eligibility criteria that must be met by all 
organizations that receive VOCA funds. These funds are to be awarded to 
subrecipients only for providing services to victims of crime through 
their staff. Each subrecipient organization shall:
    1. Be operated by a public or nonprofit organization, or a 
combination of such organizations, and provide direct services to crime 
victims.
    2. Demonstrate a record of providing effective direct services to 
crime victims. This includes having the support and approval of its 
services by the community, a history of providing direct services in a 
cost-effective manner, and financial support from non-Federal sources.
    3. Meet program match requirements. Match is to be committed for 
each VOCA-funded project and derived from resources other than Federal 
funds and/or resources, except as provided in Chapter 2, paragraph 14, 
of the Financial and Administrative Guide for Grants (M7100.1D.)
    All funds designated as match are restricted to the same uses as 
the VOCA victim assistance funds and must be expended within the grant 
period. Because of this requirement, VOCA subrecipients must maintain 
records which clearly show the source, the amount, and the period 
during which the match was expended. Therefore, organizations are 
encouraged not to commit excessive amounts of match.
    Match requirements are a minimum of 20%, cash or in-kind, of the 
total VOCA project (VOCA grant plus match) except as follows:
    a. The match for VOCA subrecipients that are Native American 
tribes/organizations located on reservations, whether new or existing, 
is 5%, cash or in-kind, of the total VOCA project (VOCA grant plus 
match.) A Native American tribe/organization is described as any tribe, 
band, nation, or other organized group or community, which is 
recognized as eligible for the special programs and services provided 
by the United States to Native Americans because of their status as 
Native Americans. A reservation is defined as a tract of land set aside 
for use of, and occupancy by, Native Americans.
    b. Subrecipients located in the U.S. Virgin Islands, and all other 
territories and possessions of the United States except Puerto Rico are 
not required to match the VOCA funds. See 48 U.S.C. 1469a(d).
    4. Use volunteers unless the State grantee determines there is a 
compelling reason to waive this requirement. A ``compelling reason'' 
may be a statutory or contractual provision concerning liability or 
confidentiality of counselor/victim information, which bars using 
volunteers for certain positions, or the inability to recruit and 
maintain volunteers after a sustained and aggressive effort.
    5. Promote, within the community coordinated public and private 
efforts to aid crime victims. Coordination may include, but is not 
limited to, serving on State, Federal, local, or Native American task 
forces, commissions and/or working groups; and developing written 
agreements, which contribute to better and more comprehensive services 
to crime victims. Coordination efforts qualify an organization to 
receive VOCA victim assistance funds, but are not activities that can 
be supported with VOCA funds.
    6. Assist crime victims in seeking crime victim compensation 
benefits. Such assistance may include identifying and notifying crime 
victims of the availability of compensation, assisting them with 
application forms and procedures, obtaining necessary documentation, 
and/or checking on claim status.
    7. Comply with the applicable provisions of VOCA, the Program 
Guidelines, and the requirements of the M7100.1D, which includes 
maintaining appropriate programmatic and financial records that fully 
disclose the amount and disposition of VOCA funds received. This 
includes: financial documentation for disbursements; daily time and 
attendance records specifying time devoted to VOCA allowable victim 
services; client files; the portion of the project supplied by other 
sources of revenue; job descriptions; contracts for services; and other 
records which facilitate an effective audit.
    8. Maintain statutorily required civil rights statistics on victims 
served by race or national origin, sex, age, and disability, within the 
timetable established by the State grantee; and permit reasonable 
access to its books, documents, papers, and records to determine 
whether the recipient is complying with applicable civil rights laws. 
This requirement is waived when providing a service, such as telephone 
counseling, where soliciting the information may be inappropriate or 
offensive to the crime victim.
    9. Abide by any additional eligibility or service criteria as 
established by the State grantee including submitting statistical and 
programmatic information on the use and impact of VOCA funds, as 
requested by the State grantee.
    10. Provide services to victims of Federal crimes on the same basis 
as victims of State crimes.
    11. Provide services to crime victims, at no charge, through the 
VOCA-funded project. Any deviation from this provision requires prior 
approval by the State grantee. Prior to authorizing subrecipients to 
generate income, OVC strongly encourages state administrators to 
carefully weigh the following considerations regarding federal funds 
generating income for subrecipient organizations.
    First, the purpose of the VOCA victim assistance grant program is 
to provide services to all crime victims regardless of their ability to 
pay for services rendered or availability of insurance or 

[[Page 55057]]
other third-party payment resources. Crime victims suffer tremendous 
emotional, physical, and financial losses. It was never the intent of 
VOCA to exacerbate the impact of the crime by asking the victim to pay 
for services.
    Second, State grantees must ensure that they and their 
subrecipients have the capability to track program income in accordance 
with Federal financial accounting requirements. All VOCA-funded program 
and match income, no matter how large or small, is restricted to the 
same uses as the VOCA grant.
    Program income can be problematic because of the required tracking 
systems needed to monitor VOCA-funded income and ensure that it is used 
only to make additional services available to crime victims. For 
example: VOCA often funds only a portion of a counselor's time. 
Accounting for VOCA program income generated by this counselor is 
complicated, involving careful record keeping by the counselor, the 
subrecipient program, and by the State.
    12. Maintain confidentiality of client-counselor information, as 
required by State and Federal law.

C. Eligible Subrecipient Organizations

    Nonprofit and public organizations that provide direct services to 
crime victims are eligible to receive VOCA funds. These include, but 
are not limited to, sexual assault and treatment centers, domestic 
violence programs, child abuse treatment facilities, centers for 
missing children, prosecutor offices, courts, correctional departments, 
probation and paroling authorities, hospitals, public housing 
authorities, and other community-based organizations including those 
who serve survivors of homicide victims.
    Although nonprofit and public organizations may be eligible to 
receive VOCA funding, there are limitations on the use of VOCA victim 
assistance grant funds by these organizations. For example, VOCA funds 
should not be used for an activity mandated by State legislation. 
However, VOCA funds can extend or enhance the legislatively mandated 
activities. In situations where a service is mandated by law but funds 
have not been appropriated, State grantees are cautioned to closely 
review and justify to OVC the use of VOCA funds to support such 
activities. With approval from OVC, State grantees may use VOCA funds 
to support an unfunded legislative mandate for a limited time, if the 
State grantee believes that such support is essential to meeting the 
needs of crime victims.
    In addition to victim services organizations, whose sole mission is 
to serve crime victims, many other public and nonprofit organizations 
that offer services to crime victims may be eligible to receive VOCA 
victim assistance funds. These organizations include, but are not 
limited to, the following:
    1. Criminal justice agencies such as law enforcement organizations, 
prosecutor offices, courts, corrections departments, probation and 
paroling authorities. For example, a police department cannot use VOCA 
victim assistance funds to hire law enforcement personnel for 
activities that a sworn law enforcement officer would be expected to 
provide in the normal course of his/her duties, such as crime scene 
intervention, questioning of victims and witnesses, investigation of 
the crime, and follow-up activities. However, these organizations may 
use VOCA funds for victims services that exceed the boundaries of their 
mandate.
    2. State and local public agencies charged with, for example, 
providing child and adult protective services or mental health 
services.
    3. Religiously-affiliated organizations. Religious organizations 
that receive VOCA funds must ensure that (1) services are offered to 
all crime victims without regard to religious affiliation; (2) the 
receipt of services is not contingent upon participation in a religious 
activity or event; and (3) receipt of the funds does not create an 
``excessive entanglement'' of church and State.
    4. Other public and nonprofit organizations whose primary mission 
or purpose is not providing direct services to crime victims if there 
is a component of the organization that provides services to crime 
victims. Such organizations include State grantees, mental health 
centers, hospitals, legal services agencies, and coalitions.
    5. State crime victim compensation agencies. Compensation programs 
may receive VOCA assistance funds if direct services such as 
individual, family, and group counseling; court accompaniment; and 
shelter are provided. These services extend far beyond information/
referral and providing information regarding compensation and other 
sources of public and private assistance. Because State compensation 
programs do not generally provide the type of direct services 
envisioned by VOCA and the Program Guidelines, State grantees are 
encouraged to discuss with OVC, prior to making a final funding 
decision, any proposed award of VOCA victim assistance funds to a 
compensation program.
    6. Hospitals and emergency medical facilities. Such organizations 
must offer counseling, support groups, and/or other types of victim 
services. In addition, State grantees may only award VOCA funds to a 
medical facility for the purpose of performing forensic examinations on 
sexual assault victims if (1) the examination meets the standards 
established by the State, local prosecutor's office, or State-wide 
sexual assault coalition; and (2) appropriate crisis counseling and/or 
other types of victim services are offered to the victim in conjunction 
with the examination.

D. Ineligible Recipients of VOCA Funds

    Some public and nonprofit organizations that offer services to 
crime victims are not eligible to receive VOCA victim assistance 
funding. These organizations include, but are not limited to, the 
following:
    1. Federal agencies, including U.S. Attorneys Offices. Receipt of 
VOCA funds would constitute an augmentation of the Federal budget with 
money intended for State agencies. However, private nonprofit 
organizations that operate on Federal land may be eligible 
subrecipients of VOCA victim assistance grant funds.
    2. In-patient treatment facilities such as those designed to 
provide treatment to individuals with drug, alcohol, and/or mental 
health-related conditions.

E. Services, Activities, and Costs at the Subrecipient Level

    The following is a listing of services, activities, and costs that 
are eligible for support with VOCA victim assistance grant funds within 
a subrecipient's organization:
    1. Those services which immediately respond to the emotional and 
physical needs (excluding medical care) of crime victims such as crisis 
intervention; accompaniment to hospitals for medical examinations; 
hotline counseling; emergency food, clothing, transportation, and 
shelter; emergency legal assistance such as filing restraining orders; 
and other emergency services that are intended to restore the victim's 
sense of dignity, and self esteem.
    2. Those services and activities that assist the primary and 
secondary victims of crime in understanding the dynamics of 
victimization and in stabilizing their lives after a victimization such 
as counseling, group treatment, and therapy. ``Therapy'' refers to 
intensive professional psychological/psychiatric treatment for 
individuals, couples, and family members related to counseling to 
provide emotional support in crises arising from the occurrence of 
crime. This includes the evaluation of mental health needs, as well as 
the actual delivery of psychotherapy. 

[[Page 55058]]

    3. Services that are directed to the needs of the victims who 
participate in the criminal justice system. These services may include 
advocacy on behalf of crime victims; accompaniment to criminal justice 
offices and court; transportation to court; child care to enable 
victims to attend court; notification of victims regarding trial dates, 
case disposition information, and parole consideration procedures; and 
restitution advocacy and assistance with victim impact statements.
    4. Services which offer an immediate measure of safety to crime 
victims such as boarding-up broken windows and replacing or repairing 
locks.
    5. Forensic examinations for sexual assault victims only to the 
extent that other funding sources (such as State compensation or 
private insurance or public benefits) are unavailable or insufficient. 
State grantees should establish procedures to monitor the use of VOCA 
victim assistance funds to pay for forensic examinations in sexual 
assault cases.
    6. Costs that are necessary and essential to providing direct 
services such as pro-rated costs of rent, telephone service, 
transportation costs for victims to receive services, emergency 
transportation costs that enable a victim to participate in the 
criminal justice system, and local travel expenses for direct service 
providers.
    7. Services which assist crime victims with managing practical 
problems created by the victimization such as acting on behalf of the 
victim with other service providers, creditors, or employers; assisting 
the victim to recover property that is retained as evidence; assisting 
in filing for compensation benefits; and helping to apply for public 
assistance.
    8. Costs that are directly related to providing direct services 
through staff. Such costs may consist of the following: advertising 
costs associated with recruiting VOCA-funded personnel; training costs 
for paid and volunteer staff; salaries and fringe benefits, including 
malpractice insurance.
    9. Opportunities where crime victims have the option to meet with 
perpetrators, if such meetings are requested by the victim and have 
therapeutic value to crime victims.
    State grantees that plan to fund this type of service should 
closely review the criteria for conducting these meetings. At a 
minimum, the following should be considered: (1) The benefit or 
therapeutic value to the victim, (2) the procedures for ensuring that 
participation of the victim and offender are voluntary and that 
everyone understands the nature of the meeting, (3) the provision of 
appropriate support and accompaniment for the victim, (4) appropriate 
``debriefing'' opportunities for the victim after the meeting or panel, 
(5) the credentials of the facilitators, and (6) the opportunity for a 
crime victim to withdraw from the process at any time. State grantees 
are encouraged to discuss proposals with OVC prior to awarding VOCA 
funds for this type of activity. VOCA assistance funds cannot be used 
for victim-offender meetings which serve to replace criminal justice 
proceedings.
    The services, activities, and costs listed below are not generally 
considered direct crime victim services. For example, staff training is 
often a necessary and essential activity to ensure that quality direct 
services are provided; however, it is not a direct service. Before 
these costs can be supported with VOCA funds, the State grantee and 
subrecipient must agree that direct services to crime victims cannot be 
offered without support for these expenses; that the subrecipient has 
no other source of support for them; and that only limited amounts of 
VOCA funds will be used for these purposes. The following list provides 
examples of such items:
    1. Skills training for staff. VOCA funds designated for training 
are to be used exclusively for developing the skills of direct service 
providers including paid staff and volunteers, so that they are better 
able to offer quality services to crime victims. An example of skills 
development is training focused on how to respond to a victim in 
crisis.
    VOCA funds can be used for training direct service providers who 
are not supported with VOCA funds within the subrecipient's 
organization.
    VOCA funds can be used to purchase materials such as books, 
training manuals, and videos for direct service providers, within the 
VOCA-funded organization, and can support the costs of a trainer for 
in-service staff development. Although a subrecipient cannot use VOCA 
funds for training individuals in other organizations, staff from other 
organizations can attend in-service training activities that are held 
for the subrecipient's staff.
    VOCA funds can support costs such as travel, meals, lodging, and 
registration fees to attend training within the State or a similar 
geographic area. This limitation encourages State grantees and 
subrecipients to first look for available training within their 
immediate geographical area, as travel costs will be minimal. However, 
when needed training is unavailable within the immediate geographical 
area, State grantees may authorize using VOCA funds to support training 
outside of the geographical area.
    VOCA funds cannot be used for management and administrative 
training for executive directors, board members, and other individuals 
that do not provide direct services.
    2. Equipment and furniture. VOCA funds may be used for furniture 
and equipment that provides or enhances direct services to crime 
victims, as demonstrated by the VOCA subrecipient.
    VOCA funds cannot support the entire cost of an item that is not 
used exclusively for victim-related activities. However, VOCA funds can 
support a prorated share of such an item. In addition, subrecipients 
cannot use VOCA funds to purchase equipment for another organization or 
individual to perform a victim-related service.
    State grantees that authorize equipment to be purchased with VOCA 
funds must establish policies and procedures on the acquisition and 
disbursement of the equipment, in the event the subrecipient no longer 
receives a VOCA grant. At a minimum, property records must be 
maintained with the following: A description of the property and a 
serial number or other identifying number; identification of title 
holder; the acquisition date; the cost and the percentage of VOCA funds 
supporting the purchase; the location, use, and condition of the 
property; and any disposition data, including the date of disposal and 
sale price. (See Financial and Administrative Guide for Grants, 
M7100.1D).
    3. Contracts for professional services. VOCA funds should not 
generally be used to support contract services. However, at times, it 
may be necessary for VOCA subrecipients to use a portion of the VOCA 
grant to contract for specialized services. Examples of these services 
include assistance in filing emergency temporary restraining orders; 
forensic examinations on a sexual assault victim to the extent that 
other funding sources are unavailable or insufficient; and emergency 
psychological or psychiatric services.
    Subrecipients are prohibited from using a majority of VOCA funds 
for contracted services, which contain administrative, overhead, and 
other indirect costs included in the hourly or daily rate.
    VOCA funds cannot be used to pay for legal representation such as 
for divorces and child custody or visitation rights litigation.
    4. Operating costs. Examples of allowable operating costs include 
supplies; equipment use fees, when supported by usage logs; printing, 

[[Page 55059]]
photocopying, and postage; brochures which describe available services; 
and books and other victim-related materials. VOCA funds may support 
administrative time to complete VOCA-required time and attendance 
sheets and programmatic documentation, reports, and statistics; 
administrative time to maintain crime victims' records; and the pro-
rated share of audit costs.
    5. Supervision of direct service providers. State grantees may 
provide VOCA funds for supervision of direct service providers when 
they determine that such supervision is necessary and essential to 
providing direct services to crime victims. For example, a State 
grantee may determine that using VOCA funds to support a coordinator of 
volunteers or interns is a cost-effective way of serving more crime 
victims.
    6. Repair and/or replacement of essential items. VOCA funds may be 
used for repair or replacement of items that contribute to maintaining 
a healthy and/or safe environment for crime victims, such as a furnace 
in a shelter. State grantees are cautioned to scrutinize each request 
for expending VOCA funds for such purposes to ensure the following: (1) 
That the building is owned by the subrecipient organization and not 
rented or leased, (2) all other sources of funding have been exhausted, 
(3) there is no available option for providing the service in another 
location, (4) that the cost of the repair or replacement is reasonable 
considering the value of the building, and (5) the cost of the repair 
or replacement is pro-rated among all sources of income.
    7. Presentations that are made in schools, community centers, or 
other public forums, and that are designed to identify crime victims 
and provide or refer them to needed services. Activities and costs 
related to such programs including presentation materials, brochures, 
and newspaper notices can be supported by VOCA funds.
    The following services, activities, and costs, although not 
exhaustive, cannot be supported with VOCA victim assistance grant 
funds:
    1. Lobbying and administrative advocacy. VOCA funds cannot support 
victim legislation or administrative reform, whether conducted directly 
or indirectly.
    2. Perpetrator rehabilitation and counseling. Subrecipients cannot 
knowingly use VOCA funds to offer rehabilitative services to offenders. 
Likewise, VOCA funds cannot support services to incarcerated 
individuals, even when the service pertains to the victimization of 
that individual.
    3. Needs assessments, surveys, evaluations, studies, and research 
efforts conducted by individuals, organizations, task forces, or 
special commissions, which study and/or research a particular crime 
victim issue.
    4. Activities directed at prosecuting an offender and/or improving 
the criminal justice system's effectiveness and efficiency such as 
witness notification and management activities and expert testimony at 
a trial. Additionally, victim protection costs and victim/witness 
expenses such as travel to testify in court and subsequent lodging and 
meal expenses are considered part of the criminal justice agency's 
responsibility and cannot be supported with VOCA funds.
    5. Fundraising activities.
    6. Indirect organizational costs such as liability insurance on 
buildings and vehicles; capital improvements; security guards and body 
guards; property losses and expenses; real estate purchases; mortgage 
payments; and construction costs.
    7. Reimbursing crime victims for expenses incurred as a result of a 
crime such as insurance deductibles, replacement of stolen property, 
funeral expenses, lost wages, and medical bills.
    8. Purchasing or leasing vehicles. Subrecipients may not use VOCA 
funds to purchase or lease vehicles unless they can demonstrate to the 
State VOCA administrator that such an expenditure is essential to 
delivering services to crime victims. The State VOCA administrator must 
give prior approval for all such purchases.
    9. Nursing home care, home health-care costs, in-patient treatment 
costs, hospital care, and other types of emergency and non-emergency 
medical and/or dental treatment. VOCA victim assistance grant funds 
cannot support medical costs resulting from a victimization, except for 
forensic medical examinations for sexual assault victims.
    10. Relocation expenses for crime victims such as moving expenses, 
security deposits on housing, ongoing rent, and mortgage payments. 
However, VOCA funds may be used to support staff time in locating 
resources to assist victims with these expenses.
    11. Salaries, fees, and reimbursable expenses associated with 
administrators, board members, executive directors, consultants, 
coordinators, and other individuals unless these expenses are incurred 
while providing direct services to crime victims.
    12. Development of protocols, interagency agreements, and other 
working agreements that benefit crime victims. These activities are 
considered examples of the types of activities that subrecipients 
undertake as part of their role as a victim services organization, 
which in turn qualifies them as an eligible VOCA subrecipient.
    13. Costs of sending individual crime victims to conferences.
    14. Development of training manuals and/or extensive training 
materials.
    15. Activities that are exclusively related to crime prevention.

Program Reporting Requirements

    State grantees must adhere to all reporting requirements and 
timelines for submitting the required reports, as indicated below. 
Failure to do so may result in a hold being placed on the drawdown of 
the current year's funds, a hold being placed on processing the next 
year's grant award, or can result in the suspension or termination of a 
grant.
    1. Subgrant Award Reports. State grantees are required to submit to 
OVC, within 90 days of making the subaward, Subgrant Award Report 
information for each subrecipient of VOCA victim assistance grant 
funds. Subgrant Award Report information is to be submitted to OVC via 
the automated subgrant dial-in system, whenever possible. When not 
possible, State grantees must complete and submit the Subgrant Award 
Report form, OJP 7390/2A, for each VOCA subrecipient.
    If the Subgrant Award Report information changes by the end of the 
grant period, State grantees must inform OVC of the changes, either by 
revising the information via the automated subgrant subdial system, by 
completing and submitting to OVC a revised Subgrant Award Report form, 
or by making notations on the State-wide database report and submitting 
it to OVC. The total of all Subgrant Award Reports submitted by the 
State grantee must agree with the Final Financial Status Report 
(Standard Form 269A) that is submitted at the end of the grant period.
    A Subgrant Award Report is required for each organization that 
receives VOCA funds and uses the funds for such allowable expenses 
including employee salaries, fringe benefits, supplies, and rent. This 
requirement applies to all State grantee awards including grants, 
contracts, or subgrants and to all subrecipient organizations.
    Subgrant Award Reports are not to be completed for organizations 
that serve only as conduits for distributing VOCA funds or for 
organizations that provide limited, emergency services, on an hourly 
rate, to the VOCA subrecipient organizations. Services and activities 
that are purchased by a VOCA 

[[Page 55060]]
subrecipient are to be included on the subrecipient's Subgrant Award 
Report.
    2. Performance Report. Each State grantee is required to submit 
specific end-of-grant data on the OVC-provided Performance Report, form 
No. OJP 7390/4, no later than 90 days after each VOCA victim assistance 
grant ends.
    For those State grantees who opt to use a portion of the VOCA 
victim assistance grant for administrative costs, the Performance 
Report will be used to describe how the funds were actually used and 
the impact of the 5% administrative funds on the State grantee's 
ability to expand, enhance, and improve services to crime victims.

A. Additional Program Requirements

    1. Civil Rights--Prohibition of Discrimination for Recipients of 
Federal Funds. No person in any State shall, on the grounds of race, 
color, religion, national origin, sex, or disability be excluded from 
participation in, be denied the benefits of, be subjected to 
discrimination under, or denied employment in connection with any 
program or activity receiving Federal financial assistance, pursuant to 
the following statutes and regulations: Section 809(c), Omnibus Crime 
Control and Safe Streets Act of 1968, as amended, 42 U.S.C. 3789d, and 
Department of Justice Nondiscrimination Regulations, 28 CFR Part 42, 
Subparts C, D, E, and G; Title VI of the Civil Rights Act of 1964, as 
amended, 42 U.S.C. 2000d, et seq.; Section 504 of the Rehabilitation 
Act of 1973, as amended, 29 U.S.C. 794; Subtitle A, Title II of the 
Americans with Disabilities Act of 1990, 42 U.S.C. 12101, et seq. and 
Department of Justice regulations on disability discrimination, 28 CFR 
Part 35 and Part 39; Title IX of the Education Amendments of 1972, as 
amended, 20 U.S.C. 1681-1683; and the Age Discrimination Act of 1975, 
as amended, 42 U.S.C. 6101, et seq.
    2. Confidentiality of Research Information. Except as otherwise 
provided by Federal law, no recipient of monies under VOCA shall use or 
reveal any research or statistical information furnished under this 
program by any person and identifiable to any specific private person 
for any purpose other than the purpose for which such information was 
obtained in accordance with VOCA. Such information, and any copy of 
such information, shall be immune from legal process and shall not, 
without the consent of the person furnishing such information, be 
admitted as evidence or used for any purpose in any action, suit, or 
other judicial, legislative, or administrative proceeding. See Section 
1407(d) of VOCA codified at 42 U.S.C. 10604.
    This provision is intended, among other things, to ensure the 
confidentiality of information provided by crime victims to counselors 
working for victim services programs receiving VOCA funds. Whatever the 
scope of application given this provision, it is clear that there is 
nothing in VOCA or its legislative history to indicate that Congress 
intended to override or repeal, in effect, a State's existing law 
governing the disclosure of information, which is supportive of VOCA's 
fundamental goal of helping crime victims. For example, this provision 
would not act to override or repeal, in effect, a State's existing law 
pertaining to the mandatory reporting of suspected child abuse. See 
Pennhurst State School and Hospital v. Halderman, et al., 451 U.S. 1 
(1981). Furthermore, this confidentiality provision should not be 
interpreted to thwart the legitimate informational needs of public 
agencies. For example, this provision does not prohibit a domestic 
violence shelter from acknowledging, in response to an inquiry by a law 
enforcement agency conducting a missing person investigation, that the 
person is safe in the shelter. Similarly, this provision does not 
prohibit access to a victim service project by a Federal or State 
agency seeking to determine whether Federal and State funds are being 
utilized in accordance with funding agreements.

Financial Requirements

    State grantees and subrecipients of VOCA victim assistance funds 
shall adhere to the financial and administrative provisions set forth 
in the OJP Financial and Administrative Guide for Grants, M7100.1D 
(effective edition). The following describes the audit requirements for 
State grantees and subrecipients, the completion and submission of 
Financial Status Reports, and actions that result in termination of 
advanced funding.

A. Audit Responsibilities for State Grantees

    Pursuant to OMB Circular A-128 (Audits of State or Local 
Governments), State grantees that receive $100,000 or more in Federal 
financial assistance in any fiscal year must have a single audit for 
that year. State grantees receiving at least $25,000, but less than 
$100,000, in a fiscal year have the option of performing a single audit 
or an audit of the Federal program, as required by the applicable 
Federal laws and regulations. State and local governments receiving 
less than $25,000 in any fiscal year are exempt from audit 
requirements.

B. Audit Responsibilities for Subrecipients

    Pursuant to OMB Circular A-128 (Audits of State or Local 
Governments), local governments that receive $100,000 or more in 
Federal financial assistance in any fiscal year shall have a single 
audit for that year. Local agencies receiving at least $25,000, but 
less than $100,000, in a fiscal year have the option of performing an 
audit in accordance with OMB Circular A-128 or in accordance with the 
applicable Federal laws and regulations. State and local subgrantees 
shall have the audits performed annually unless they have a 
constitutional or statutory requirement for less frequent audits. Local 
governments receiving less than $25,000 in any fiscal year are exempt 
from audit requirements.
    Institutions of higher education and other nonprofit organizations 
that receive $100,000 or more a year in Federal financial assistance 
shall have an audit made in accordance with OMB Circular A-133. 
Organizations and institutions that receive at least $25,000, but less 
than $100,000, in a fiscal year shall have an audit made in accordance 
with OMB Circular A-133 or an audit of the Federal program. 
Institutions and organizations receiving less than $25,000 in any 
fiscal year are exempt from audit requirements.

C. Financial Status Report for State Grantees

    Financial Status Reports are required from all State grantees. A 
Financial Status Report shall be submitted to the Office of the 
Comptroller for each calendar quarter in which the grant is active. 
This Report is due even though no obligations or expenditures were 
incurred. Financial Status Reports shall be submitted to the Office of 
the Comptroller, by the State grantee, within 45 days after the end of 
each subsequent calendar quarter. Calendar quarters end March 31, June 
30, September 30, and December 31. A Final Financial Status Report is 
due 90 days after the end of the VOCA grant period, no later than 
December 31.

D. Termination of Advance Funding to State Grantees

    If the State grantee receiving cash advances by Letter of Credit or 
by direct Treasury check demonstrates an unwillingness or inability to 
establish procedures that will minimize the time elapsing between cash 
advances and disbursement, OJP may terminate advance funding and 
require the State 

[[Page 55061]]
grantee to finance its operations with its own working capital. 
Payments to the State grantee will then be made by the direct Treasury 
check method, which reimburses the State grantee for actual cash 
disbursements.

E. Administrative Cost Provision Documentation

    State grantees who choose to use a portion of their VOCA victim 
assistance grant for administrative costs must maintain a clear audit 
trail of all costs supported by administrative funds and be able to 
document the value of the State grantee's previous commitment to 
administering VOCA.

Monitoring

A. Office of the Comptroller

    The Office of the Comptroller conducts periodic reviews of the 
financial policies, procedures, and records of VOCA grantees and 
subrecipients. Therefore, upon request, State grantees and 
subrecipients must give authorized representatives the right to access 
and examine all records, books, papers, case files, or documents 
related to the grant, the use of administrative funds, and all 
subawards.

B. Office for Victims of Crime

    Beginning with the FY 1991 grant period, OVC implemented an on-site 
monitoring plan in which each State grantee is visited a minimum of 
once every three years. While on site, OVC personnel will expect to 
review various documents and files such as (1) financial and program 
manuals and procedures governing the VOCA grant program; (2) financial 
records, reports, and audit reports for the State grantee and all VOCA 
subrecipients; (3) the State grantee's VOCA application kit, 
procedures, and guidelines for subawarding VOCA funds; and (4) all 
other State grantee and subrecipient records and files.
    In addition, OVC will visit selected subrecipients and will review 
similar documents such as (1) financial records, reports, and audit 
reports; (2) policies and procedures governing the organization and the 
VOCA funds; (3) programmatic records of victims' services; and (4) 
timekeeping records and other supporting documentation for costs 
supported by VOCA funds.

Suspension and Termination of Funding

    If, after notice and opportunity for a hearing, OVC finds that a 
State grantee has failed to comply substantially with VOCA, the 
M7100.1D, the Final Program Guidelines, or another implementing 
regulation or requirements, OVC may suspend or terminate funding to the 
State grantee and/or take other appropriate action. At such time, State 
grantees may request a hearing on the justification for the suspension 
and/or termination of VOCA funds. VOCA subrecipients, within the State, 
may not request a hearing at the Federal level. However, VOCA 
subrecipients who believe that the State grantee has violated a program 
and/or financial requirement are not precluded from bringing the 
alleged violation(s) to the attention of OVC.
Aileen Adams,
Director, Office for Victims of Crime, Office of Justice Programs.
[FR Doc. 95-26570 Filed 10-26-95; 8:45 am]
BILLING CODE 4410-18-P