; and (6) use financial savings created through decreased incarceration to sustain programmatic and community-based efforts to reduce jail incarceration. (b) Grant oversight requirement (1) In general If a grantee fails to meet the incarceration rate and racial and ethnic disparities reduction requirements under subsection (a)(3) in any year of the award, the Bureau of Justice Assistance shall perform an audit of the use of their award and the grantee shall implement new strategies based on that audit. If a grantee fails to meet the incarceration rate and racial and ethnic disparities reduction requirements under subsection (a)(3) in any two consecutive years of the award, the Attorney General shall terminate the award. (2) Modification authority The Bureau of Justice Assistance may grant a modification to the incarceration rate reduction requirement under subsection (a)(3) if the Bureau determines after an audit that the failure to meet the incarceration rate reduction requirement was caused by an increase in population in the covered jurisdiction. If a grantee fails to meet the modified reduction requirements in any two subsequent years of the award, the Attorney General shall terminate the award. 4. Grant amounts (a) Planning grants A grant under section 2(a)(1) may be for not more than $100,000 for a single grantee, and shall be for a term of 1 year. (b) Implementation grants A grant under section 2(a)(2) shall be for a term of 6 years, and shall be structured as follows: (1) For the first year of the grant term, an amount shall be disbursed that is to be not less than $500,000 and not more than $3,000,000, contingent upon acceptance of a grantee’s proposed budget for activities under the grant, which may be subject to revision during the award process. (2) Award amounts shall decrease annually by— (A) 10 percent in the second year; (B) 15 percent in the third year; (C) 20 percent in the fourth year