SECTION 1. DRUG TESTING UPON ARREST.

    (a) In General.--Title I of the Omnibus Crime Control and Safe 
Streets Act of 1968 (42 U.S.C. 3711 et seq.) is amended--
            (1) by redesignating part Y as part Z;
            (2) by redesignating section 2501 as section 2601; and
            (3) by inserting after part X the following:

             ``PART Y--GRANTS FOR DRUG TESTING UPON ARREST

``SEC. 2501. GRANT AUTHORIZATION.

    ``The Director of the Bureau of Justice Assistance is authorized to 
make grants under this part to States, for the use by States and units 
of local government in the States, for the purpose of developing, 
implementing, or continuing a drug testing project when individuals are 
arrested and during the pretrial period and after post conviction 
release.

``SEC. 2502. STATE APPLICATIONS.

    ``(a) General Requirements.--To request a grant under this part the 
chief executive of a State shall submit an application to the Director 
in such form and containing such information as the Director may 
reasonably require.
    ``(b) Mandatory Assurances.--To be eligible to receive funds under 
this part, a State must agree to develop or maintain programs of 
urinalysis or similar drug testing of individuals upon arrest and on a 
regular basis pending trial for the purpose of making pretrial 
detention decisions.
    ``(c) Central Office.--The office designated under section 507 of 
title I of the Omnibus Crime Control and Safe Streets Act of 1968 (42 
U.S.C. 3757)--
            ``(1) shall prepare the application as required under 
        subsection (a); and
            ``(2) shall administer grant funds received under this 
        part, including review of spending, processing, progress, 
        financial reporting, technical assistance, grant adjustments, 
        accounting, auditing, and fund disbursement.

``SEC. 2503. LOCAL APPLICATIONS.

    ``(a) In General.--(1) To request funds under this part from a 
State, the chief executive of a unit of local government shall submit 
an application to the office designated under section 2502(c).
    ``(2) Such application shall be considered approved, in whole or in 
part, by the State not later than 90 days after such application is 
first received unless the State informs the applicant in writing of 
specific reasons for disapproval.
    ``(3) The State shall not disapprove any application submitted to 
the State without first affording the applicant reasonable notice and 
an opportunity for reconsideration.
    ``(4) If such application is approved, the unit of local government 
is eligible to receive such funds.
    ``(b) Distribution to Units of Local Government.--A State that 
receives funds under section 2501 in a fiscal year shall make such 
funds available to units of local government with an application that 
has been submitted and approved by the State within 90 days after the 
Bureau has approved the application submitted by the State and has made 
funds available to the State. The Director shall have the authority to 
waive the 90-day requirement in this section upon a finding that the 
State is unable to satisfy such requirement under State statutes.

``SEC. 2504. ALLOCATION AND DISTRIBUTION OF FUNDS.

    ``(a) State Distribution.--Of the total amount appropriated under 
this part in any fiscal year--
            ``(1) 1.0 percent shall be allocated to each of the 
        participating States; and
            ``(2) of the total funds remaining after the allocation 
        under paragraph (1), there shall be allocated to each of the 
        participating States an amount which bears the same ratio to 
        the amount of remaining funds described in this paragraph as 
        the number of individuals arrested in such State bears to the 
        number of individuals arrested in all the participating States.
    ``(b) Local Distribution.--(1) A State that receives funds under 
this part in a fiscal year shall distribute to units of local 
government in such State that portion of such funds which bears the 
same ratio to the aggregate amount of such funds as the amount of funds 
expended by all units of local government for criminal justice in the 
preceding fiscal year bears to the aggregate amount of funds expended 
by the State and all units of local government in such State for 
criminal justice in such preceding fiscal year.
    ``(2) Any funds not distributed to units of local government under 
paragraph (1) shall be available for expenditure by such State for 
purposes specified in such State's application.
    ``(3) If the Director determines, on the basis of information 
available during any fiscal year, that a portion of the funds allocated 
to a State for such fiscal year will not be used by such State or that 
a State is not eligible to receive funds under this part, the Director 
shall award such funds to units of local government in such State 
giving priority to the units of local government that the Director 
considers to have the greatest need.
    ``(c) Federal Share.--The Federal share of a grant made under this 
part may not exceed 75 percent of the total costs of the projects 
described in the application submitted under section 2502 for the 
fiscal year for which the projects receive assistance under this part.
    ``(d) Geographic Distribution.--The Director shall attempt, to the 
extent practicable, to achieve an equitable geographic distribution of 
grant awards.

``SEC. 2505. REPORT.

    ``A State or unit of local government that receives funds under 
this part shall submit to the Director a report in March of each fiscal 
year that funds are received under this part regarding the 
effectiveness of the drug testing project.''.
    (b) Conforming Amendment.--The table of contents of title I of the 
Omnibus Crime Control and Safe Streets Act of 1968 (42 U.S.C. 3711 et 
seq.) is amended by striking the matter relating to part Y and 
inserting the following:

            ``Part Y--Drug Testing for Individuals Arrested

``Sec. 2501. Grant authorization.
``Sec. 2502. State applications.
``Sec. 2503. Local applications.
``Sec. 2504. Allocation and distribution of funds.
``Sec. 2505. Report.
             ``Part Z--Transition; Effective Date; Repealer

``Sec. 2601. Continuation of rules, authorities, and proceedings.''.

SEC. 2. AUTHORIZATION OF APPROPRIATIONS.

    Section 1001(a) of the Omnibus Crime Control and Safe Streets Act 
of 1968 (42 U.S.C. 3793), is amended by adding at the end the 
following:
    ``(22) There are authorized to be appropriated $100,000,000 for the 
fiscal years 199____, 199____, and 199____ to carry out the projects 
under part Y.''.
Amends the Omnibus Crime Control and Safe Streets Act of 1968 to authorize the Director of the Bureau of Justice Assistance to make grants for States and local governments to develop, implement, or continue a drug testing project when individuals are arrested and during the pretrial period and after post-conviction release. 
Sets forth State and local application requirements.  Requires a State, to be eligible to receive funds, to develop or maintain programs of urinalysis or similar drug testing of individuals upon arrest and on a regular basis pending trial for the purpose of making pretrial detention decisions. 
Provides for the allocation and distribution of funds.  Limits the Federal share to 75 percent of total project costs. 
Authorizes appropriations.
To provide grants to the States for drug testing projects when individuals are arrested and during the pretrial period.