In federal adoptive forfeiture, the local agency can receive up to what percentage of the net proceeds?

• A. 90%
• B. 80%
• C. 100%
• D. 60%

Answer: (B)

In federal adoptive forfeiture, local agencies that participate in the federal process can share in the forfeiture proceeds, but with a cap. The local agency can receive up to eighty percent of the net proceeds. Net proceeds are what’s left after subtracting the costs of the forfeiture action—like investigative expenses, legal fees, and storage or maintenance—from the gross proceeds. The remaining twenty percent goes to the federal side to cover program costs and support nationwide enforcement efforts. This structure motivates local cooperation while ensuring federal costs are acknowledged. For example, if after costs the case brings in $100,000, the local agency could receive up to $80,000, with $20,000 allocated to the federal side. The actual amount may be less if costs are higher or other policy factors apply.