; and (B) if the conditions described in paragraph (3) have been met, shall waive the penalty pursuant to such paragraph. (2) Distribution Any civil monetary penalty or monetary settlement collected under this subsection shall be used to carry out the grant program established under section 304 of the Violence Against Women and Department of Justice Reauthorization Act of 2005 ( 42 U.S.C. 14045b ). (3) Waiver (A) In general If a local law enforcement agency refuses to enter into a memorandum of understanding under this section, or will only commit to entering into a memorandum of understanding that, if followed, would cause the institution of higher education to be in violation of Federal or State law, the Secretary shall waive the penalty if the Secretary determines that the following conditions have been met— (i) the institution has explained why the institution was unable to obtain an agreement; (ii) the institution has demonstrated that the institution acted in good faith