[Federal Register Volume 61, Number 218 (Friday, November 8, 1996)]
[Notices]
[Pages 57982-57985]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-28772]



  Federal Register / Vol. 61, No. 218 / Friday, November 8, 1996 / 
Notices  

[[Page 57982]]



DEPARTMENT OF COMMERCE

National Telecommunications and Information Administration
[Docket No. 960205021-6309-03]
RIN 0660-ZA01


Public Telecommunications Facilities Program: Closing Date

AGENCY: National Telecommunications and Information Administration 
(NTIA), Commerce.

ACTION: Notice of availability of funds.

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SUMMARY: Subject to the authority of Title III of the Department of 
Commerce, Justice and State, the Judiciary and Related Agencies 
Appropriations Act, (set out in Division A, Title I of the Omnibus 
Consolidated Appropriations Act, 1997, Pub. L. 104-208), the National 
Telecommunications and Information Administration (NTIA), U.S. 
Department of Commerce, announces that applications are available for 
planning and construction grants for public telecommunications 
facilities under the Public Telecommunications Facilities Program 
(PTFP).
    Applicants for matching grants under the PTFP must file their 
applications on or before Wednesday, February 12, 1997. NTIA 
anticipates making grant awards by September 30, 1997. NTIA shall not 
be liable for any proposal preparation costs.
    Approximately $15.25 million is available for FY 1997 for PTFP 
grants pursuant to Pub. L. 104-208 the ``Department of Commerce and 
Related Agencies Appropriations Act of 1997.'' The amount of a grant 
award by NTIA will vary, depending on the approved project. For fiscal 
year 1996, NTIA awarded $13.4 million in funds to 96 projects. The 
awards ranged from $3,592 to $791,727.
    The applicable Rules for the PTFP were published on November 8, 
1996. These rules, 15 CFR Part 2301 et seq. will be in effect for FY 
1997 PTFP applications. Copies of these new Rules will be distributed 
as part of the PTFP Application Kit and applicants are cautioned not to 
use older versions of the PTFP Rules which they may have on hand. 
Parties interested in applying for financial assistance should refer to 
these rules and to the authorizing legislation (47 U.S.C. Secs. 390-
393, 397-399b) for additional information on the program's goals and 
objectives, eligibility criteria, evaluation criteria, and other 
requirements.

DATES: Pursuant to 15 CFR Sec. 2301.8(b), the Administrator of NTIA 
hereby establishes the closing date for the filing of applications for 
grants under the PTFP. The closing date selected for the submission of 
applications for 1997 is Wednesday, February 12, 1997. Applications 
delivered by mail or by hand must be received at the address referenced 
below by 5 p.m. on or before Wednesday, February 12, 1997. Applicants 
whose applications are not received by the deadline are hereby notified 
that their applications will not be considered in the current grant 
cycle and will be returned to the applicant. See 15 CFR Sec. 2301.8(c); 
but see also Sec. 2301.26. NTIA will also return any application which 
is substantially incomplete, or when the Agency finds that either the 
applicant or project is ineligible for funding under 15 CFR Sec. 2301.3 
and Sec. 2301.4. The Agency will inform the applicant the reason for 
the return of any application.

ADDRESSES: To obtain an application package, submit completed 
applications, or send any other correspondence, write to: Office of 
Telecommunications and Information Applications, NTIA/DOC, 14th Street 
and Constitution Ave., NW, Room H-4625, Washington, DC 20230.

FOR FURTHER INFORMATION CONTACT: Dennis R. Connors, Director, Public 
Broadcasting Division, telephone: (202) 482-5802; fax: (202) 482-2156. 
Information about the PTFP can also be obtained electronically via 
Internet (send inquiries to http://www.ntia.doc.gov) or through the 
NTIA BBS at (202) 482-1199 (set computer modems for 8 stop bits, 0 
polarity).

SUPPLEMENTARY INFORMATION:

I. Application Forms and Regulations

    To apply for a PTFP grant, an applicant must file an original and 
two copies of a timely and complete application on a current form 
approved by the Agency. The current application form will be provided 
to applicants as part of the application package. This form expires on 
October 31, 1997, and no previous versions of the form may be used. (In 
accordance with the Paperwork Reduction Act, the current application 
form has been cleared under OMB control no. 0660-0003.) Applications 
submitted by facsimile or electronic means are not acceptable.
    All persons and organizations on the PTFP's mailing list will be 
sent a copy of the current application form and the Final Rules. Those 
not on the mailing list may obtain copies by contacting the PTFP at the 
address or telephone, fax, computer bulletin board, or Internet numbers 
noted above. Prospective applicants should read the Final Rules 
carefully before submitting applications. Applicants whose applications 
were deferred in FY 1996 will be mailed pertinent PTFP materials and 
instructions for requesting reactivation of their applications.
    Applicants should note that they must comply with the provisions of 
Executive Order 12372, ``Intergovernmental Review of Federal 
Programs.'' The Executive Order requires applicants for financial 
assistance under this program to file a copy of their application with 
the Single Points of Contact (SPOC) of all states relevant to the 
project. Applicants are required to provide a copy of their completed 
application to the appropriate SPOC on or before February 12, 1997. 
Applicants are encouraged to contact the appropriate SPOC well before 
the PTFP closing date.
    NTIA requires that all applicants whose proposed projects need 
authorization from the Federal Communications Commission (FCC) tender 
an application to the FCC for such authority on or before February 12, 
1997. (An application is tendered to the FCC when it has been received 
by the Secretary of the FCC.) However, applicants are urged to submit 
it with as much lead time before the PTFP closing date as possible. The 
greater the lead time, the better the chance the FCC application will 
be processed to coincide with NTIA's grant cycle. NTIA will return the 
application of any applicant that fails to tender an application to the 
FCC for any necessary authority on or before February 12, 1997.
    Indirect costs for construction applications are not supported by 
this program. The total dollar amount of the indirect costs proposed in 
a planning application under this program must not exceed the indirect 
cost rate negotiated and approved by a cognizant Federal agency prior 
to the proposed effective date of the award or 100 percent of the total 
proposed direct costs dollar amount in the application, whichever is 
less.
    All primary applicants must submit a completed Form CD-511, 
``Certifications Regarding Debarment, Suspension, and Other 
Responsibility Matters; Drug-Free Workplace Requirements and 
Lobbying,'' and the following explanations are hereby provided:
    (1) Nonprocurement Debarment and Suspension. Prospective 
participants (as defined at 15 CFR Part 26, Section 105) are subject to 
15 CFR Part 26, ``Nonprocurement Debarment and Suspension'' and the 
related section of the certification form prescribed above applies;

[[Page 57983]]

    (2) Drug Free Workplace. Grantees (as defined at 15 CFR Part 26, 
Section 605) are subject to 15 CFR Part 26, Subpart F, ``Government-
wide Requirements for Drug-Free Workplace (Grants)'' and the related 
section of the certification form prescribed above applies;
    (3) Anti-lobbying. Persons (as defined at 15 CFR Part 28, Section 
105) are subject to the lobbying provisions of 31 U.S.C. 1352, 
``Limitation on use of appropriated funds to influence certain Federal 
contracting and financial transactions,'' and the lobbying section of 
the certification form prescribed above applies to applicants/bidders 
for grants, cooperative agreements, and contracts for more than 
$100,000, and loans and loan guarantees for more than $150,000, or the 
single family maximum mortgage limit for affected programs, whichever 
is greater; and
    (4) Anti-lobbying Disclosures. Any applicant that has paid or will 
pay for lobbying using any funds must submit an SF-LLL, ``Disclosure of 
Lobbying Activities,'' as required under 15 CFR Part 28, Appendix B.
    Recipients shall require applicants/bidders for subgrants, 
contracts, subcontracts, or other lower tier covered transactions at 
any tier under the grant award to submit, if applicable, a completed 
Form CD-512, ``Certifications Regarding Debarment, Suspension, 
Ineligibility and Voluntary Exclusion--Lower Tier Covered Transactions 
and Lobbying'' and disclosure form, SF-LLL, ``Disclosure of Lobbying 
Activities.'' Form CD-512 is intended for the use of recipients and 
should not be transmitted to the Department. SF-LLL submitted by any 
tier recipient or subrecipient should be submitted to the Department in 
accordance with the instructions contained in the award document.
    If an application is selected for funding, the Department of 
Commerce has no obligation to provide any additional future funding in 
connection with that award. Renewal of an award to increase funding or 
extend the period of performance is at the total discretion of the 
Department.
    Recipients and subrecipients are subject to all Federal laws and 
Federal and DOC policies, regulations, and procedures applicable to 
Federal assistance awards. In addition, unsatisfactory performance by 
the applicant under prior Federal awards may result in the application 
not being considered for funding.
    If applicants incur any costs prior to an award being made, they do 
so solely at their own risk of not being reimbursed by the Government. 
Notwithstanding any verbal or written assurance that they have 
received, there is no obligation on the part of the Department to cover 
preaward costs.
    No award of Federal funds shall be made to an applicant who has an 
outstanding delinquent Federal debt until either: (1) the delinquent 
account is paid in full; (2) a negotiated repayment schedule is 
established and at least one payment is received, or (3) other 
arrangements satisfactory to the Department are made.
    Applicants are reminded that a false statement on the application 
may be grounds for denial or termination of funds and grounds for 
possible punishment by a fine or imprisonment as provided in 18 U.S.C. 
1001.
    Special Note: NTIA has established a policy which is intended to 
encourage stations to increase from 25% to 50% the matching percentage 
for those proposals that call for equipment replacement, improvement, 
or augmentation (PTFP Policy Statement, (56 FR 59168 (1991))). The 
presumption of 50% funding will be the general rule for the 
replacement, improvement or augmentation of equipment. Exceptions to 
this general policy direction are as follows: small community-licensee 
stations will not be subjected to this policy. The same is true of a 
station that is licensed to a large institution (e.g., a college or 
university) documenting that it does not receive direct or in-kind 
support from the larger institution. Also, a showing of extraordinary 
need or an emergency situation will be taken into consideration as 
justification for grants of up to 75% of the project cost for such 
proposals.
    A point of clarification is in order: NTIA expects to continue 
funding projects to activate stations or to extend service at up to 75% 
of the total project cost. NTIA will do this because applicants 
proposing to provide first service to a geographic area ordinarily 
incur considerable costs that are not eligible for NTIA funding. The 
applicant must cover the ineligible costs including those for 
construction or renovation of buildings and other similar expenses.
    Since NTIA has limited funds for the PTFP program, the PTFP Final 
Rules published November 8, 1996 modifies NTIA's policy regarding the 
funding of planning applications. Our policy now includes the general 
presumption to fund planning projects at no more than 75% of the 
project costs. NTIA notes that most of the planning grants awarded by 
PTFP in recent years include matching in-kind services and funds 
contributed by the grantee. The new NTIA policy therefore codifies what 
already has become PTFP practice. NTIA, however, is mindful that 
planning grants are sometimes the only resource that emerging community 
groups have with which to initiate the planning of new facilities in 
unserved areas. We therefore will continue to award up to 100% of total 
project costs in cases of extraordinary need.
    We wish to take this opportunity to restate the policy published in 
the November 22, 1991, PTFP Policy Statement (56 FR 59168 (1991)), 
regarding applicants' use of funds from the Corporation for Public 
Broadcasting (CPB) to meet the local match requirements of the PTFP 
grant. NTIA continues to believe that the policies and purposes 
underlying the PTFP requirements could be significantly frustrated if 
applicants routinely relied upon another Federally supported grant 
program for local matching funds. Accordingly, NTIA has limited the use 
of CPB funds for the non-Federal share of PTFP projects to 
circumstances of ``clear and compelling need'' (15 CFR 
Sec. 2301.6(c)(2)). NTIA intends to maintain that standard and to apply 
it on a case-by-case basis.
    The November 22, 1991, PTFP Policy Statement (56 FR 59168 (1991)) 
also discussed a number of issues of particular relevance to applicants 
proposing nonbroadcast educational and instructional projects and 
potential improvement of nonbroadcast facilities. These policies remain 
in effect and will be distributed to all PTFP applicants as part of the 
Guidelines for preparing FY 1997 PTFP applications.

II. Eligible and Ineligible Costs

    Eligible equipment for the 1997 grant round includes apparatus 
necessary for the production, interconnection, captioning, broadcast, 
or other distribution of programming, including but not limited to 
studio equipment; audio and video storage, processing, and switching 
equipment; terminal equipment; towers, antennas, transmitters, remote 
control equipment, transmission line, translators, microwave equipment, 
mobile equipment, satellite communications equipment, instructional 
television fixed service equipment, subsidiary communications 
authorization transmitting and receiving equipment, cable television 
equipment, and optical fiber communications equipment.
    NTIA recognizes that digital technology will be an important means 
for the more efficient creation and distribution of programming in the 
future. Consequently, public broadcasters seeking to replace, upgrade, 
and buy new equipment that employs digital technology will be

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permitted, when appropriate, to use PTFP funds for such purposes.
    The following list provides clarification regarding several 
equipment and other cost areas that will be helpful in preparing 
applications. NTIA also reserves the right to eliminate any costs, 
whether specified here or not, that it determines are not appropriate 
prior to the awarding of a grant.

A. Equipment and Supplies

    (1) Buildings and Modifications to Buildings. (a) Eligible: Small 
equipment shelters that are part of satellite earth stations, 
translators, microwave interconnection facilities, and similar 
facilities. (b) Ineligible: Purchase or lease of buildings and 
modifications to buildings, including the renovation of space for 
studios intended to house eligible equipment; costs associated with 
removing old equipment.
    (2) Land and Land Improvements. (a) Eligible: Site preparation 
necessary to construct towers and guy anchors for transmission and 
interconnection equipment. (b) Ineligible: Purchase or lease of land.
    (3) Moving Costs. (a) Ineligible: Moving costs required by 
relocation of any facilities. (b) Eligible: Shipping and delivery 
charges for equipment acquired within the award.
    (4) Reception Equipment. (a) Eligible: Fixed frequency demodulator, 
as required by good engineering practice for monitoring the off-air 
transmission of signals; subcarrier demodulator; telemetry transmitters 
and receivers; satellite receivers; and subcarrier decoders for the 
handicapped. (b) Ineligible: Consumer-type TV sets and FM receivers.
    (5) Tower Modifications. (a) Eligible: Strengthening or modifying a 
commercial entity's tower to accommodate a public broadcasting entity 
(structural modifications on towers and/or antenna changes must meet 
EIA (Electronic Industries Association) and any required local 
standards). (b) Ineligible: Modifying or strengthening the applicant's 
tower to accommodate a commercial entity.
    (6) Production and Control Room Equipment. (a) Eligible: Standard 
production studio and control room equipment for TV or radio program 
production. (b) Ineligible: Consumer-type mixers, tape recorders, 
turntables, CD players, etc; ancillary production devices such as 
stopwatches and stop-clocks, building lights, sound effects, scenery 
and props, cycloramas, sound insulation devices and materials, 
draperies and related equipment for production use, film and still 
photography processing, film sound synchronization editing.
    (7) Video Equipment. (a) Eligible: Videotape editing and processing 
equipment that conforms to broadcast-standard quality equipment for 
field recording and production editing. (b) Ineligible: Consumer level 
videotape recording formats not accepted in the industry as broadcast-
standard quality.
    (8) Furniture and Office Equipment. (a) Eligible: Consoles required 
to mount equipment such as audio consoles and video switchers. (b) 
Ineligible: Such items as office furniture, office equipment, studio 
clocks and systems, blackboards, office intercoms, equipment inventory 
labels and label-makers, word processors, telephone systems, and 
printing and duplication equipment.
    (9) Expendable Items and Spare Parts. (a) Eligible: A transmitter 
spare parts kit and one set of final and driver tubes for a transmitter 
awarded in the grant; a spare parts kit for video tape recorders 
awarded in the grant. (b) Ineligible: Spare lenses, spare circuit 
components, spare parts kits for studio equipment, except as noted 
above; recording tape, film, reels, cartridge tapes, records, compact 
discs, and record or tape cleaning equipment; art and graphics 
supplies; maintenance supplies, including replacement final and driver 
tubes normally considered in the industry as normal maintenance-budget-
provided items and similar items.
    (10) Backup Equipment. (a) Eligible: Hot standby or backup 
microwave for the main studio-to-transmitter link only; a backup or 
spare exciter for a television transmitter, as required by good 
engineering practice. (b) Ineligible: Redundant equipment, such as 
spare transmitters, or costs associated with them, as well as backup 
microwave equipment (except as noted above).
    (11) Electric Power. (a) Eligible: Generally, all primary power 
costs from the output of the main power meter panel; regulators and 
surge protectors, as required by good engineering practice, to 
stabilize transmitter RF output. Where primary power is not available 
or is unusable for broadcast, then PTFP may provide funding for those 
devices needed to power the facility if the need for that equipment is 
fully documented in the application. (b) Ineligible: Costs of 
installing primary power to the facility, including transformers, power 
lines, gasoline or diesel powered generators, and related equipment.
    (12) Test and Maintenance Equipment. (a) Eligible: Required test 
equipment, as indicated by good engineering practice for the 
maintenance of the project equipment. (b) Ineligible: Maintenance 
equipment such as hand and power tools, storage cabinets, and 
maintenance services.
    (13) Air Conditioning and Ventilation. (a) Eligible: The costs to 
provide ventilation of eligible project equipment, such as ducting for 
transmitters, as required by good engineering practice. Transmitter air 
conditioning can be applied for and will be supported if the need is 
well-documented in the application. (b) Ineligible: Unless 
exceptionally well-documented, air conditioning for transmitters, 
control rooms, or equipment rooms, studios, mobile units, and other 
operational rooms and offices.
    (14) Remote Vans. (a) Eligible: Items to equip a remote van for 
audio/video production. (b) Ineligible: All vehicles.

B. Other Costs

    (1) Construction Applications: NTIA generally will not fund salary 
expenses, including staff installation costs, and pre-application legal 
and engineering fees. Certain ``pre-operational expenses'' are eligible 
for funding. (See 15 CFR Sec. 2301.2.) Despite this provision, NTIA 
regards its primary mandate to be funding the acquisition of equipment 
and only secondarily funding of salaries. A discussion of this issue 
appears in the PTFP Final Rules under the heading Support for Salary 
Expenses in the introductory section of the document.
    (2) Planning Applications. (a) Eligible: Salaries are eligible 
expenses for all planning grant applications, but should be fully 
described and justified within the application. Planning grant 
applicants may lease office equipment, furniture and space, and may 
purchase expendable supplies under the terms of Section 392 (c) of the 
Act. (b) Ineligible: Planning grant applications cannot include the 
cost of constructing or operating a telecommunications facility.
    (3) Audit Costs. Organization-wide audits shall be performed in 
accordance with the Single Audit Act Amendments of 1996, for audits of 
state and local governments; and Office of Management and Budget 
Circular A-133, Audits of Institutions of Higher Education and Other 
Non-Profit Institutions for recipients that are educational 
institutions or nonprofit organizations. Additionally, when required 
under a special award condition, a project audit shall be performed in 
accordance with Federal Government Auditing Standards in lieu of an 
organization-wide audit.
    Federal guidelines allow NTIA to include an amount for audit costs 
as part of a grant award. NTIA policy permits non-profit organizations 
to

[[Page 57985]]

include up to $5,000 for audit costs in an application. Because audit 
costs may vary depending on the size and scope of an organization's 
operations, NTIA recommends that applicants obtain estimates from 
auditors to determine the appropriate amount to include in their 
applications. Construction Grant Applicants should list the amount 
requested for audit costs in Part II, Section D--Other Project Costs, 
1. Outside Services of the PTFP Application Form. Planning Grant 
Applicants should include the amount on line 7, Other, in Part III--
Budget Information for Planning Grant Applicants of the PTFP 
Application Form.

III. Notice of Applications Received

    In accordance with 15 CFR Sec. 2301.13, NTIA will publish a notice 
in the Federal Register listing all applications received by the 
Agency. Listing an application in such a notice merely acknowledges 
receipt of an application to compete for funding with other 
applications. Publication does not preclude subsequent return of the 
application for the reasons discussed under the Dates section above, or 
disapproval of the application, nor does it assure that the application 
will be funded. The notice will also include a request for comments on 
the applications from any interested party.

IV. Evaluation Process

    See 15 CFR Sec. 2301.16 for a description of the Technical 
Evaluation and 15 CFR Sec. 2301.17 for the Evaluation Criteria.

V. Selection Process

    Based upon the above cited evaluation criteria, the PTFP program 
staff prepares summary evaluations. These incorporate the outside 
reviewers recommendations, engineering assessments, and program staff 
evaluations. The PTFP Director will consider the summary evaluations 
prepared by program staff, rank the applications, and present 
recommendations to the OTIA (Office of Telecommunications and 
Information Applications) Associate Administrator for review and 
approval. The PTFP Director ranks the applications into three 
categories: ``Recommended for Funding,'' ``Recommended for Funding if 
Funds Available,'' and ``Not Recommended for Funding.'' See 15 CFR 
Sec. 2301.18 for a description of the selection factors retained by the 
Director, OTIA Associate Administrator, and the Assistant Secretary for 
Telecommunications and Information.
    Upon review and approval by the OTIA Associate Administrator, the 
Director's recommendations will then be presented to the Selection 
Official, the NTIA Administrator. The NTIA Administrator selects the 
applications to be negotiated for possible grant award taking into 
consideration the Directors recommendations and the degree to which the 
slate of applications, taken as a whole, satisfies the program's stated 
purposes set forth at 15 CFR Sec. 2301.1(a) and (c). These applications 
are negotiated between PTFP staff and the applicant. The negotiations 
are intended to resolve whatever differences might exist between the 
applicant's original request and what PTFP proposes to fund. During 
negotiations, some applications may be dropped from the proposed slate, 
due to lack of Federal Communications Commission licensing authority, 
an applicant's inability to make adequate assurances or certifications, 
or other reasons. Negotiation of an application does not ensure that a 
final award will be made. When the negotiations are completed, the PTFP 
Director recommends final selections to the NTIA Administrator applying 
the same factors as listed in 15 CFR Sec. 2301.18. The Administrator 
then makes the final award selections from the negotiated applications 
taking into consideration the Director's recommendations and the degree 
to which the slate of applications, taken as a whole, satisfies the 
program's stated purposes in 15 CFR Sec. 2301.1(a) and (c).

VI. Project Period

    Planning grant award periods customarily do not exceed one year, 
whereas construction grant award periods commonly range from one to two 
years. Although these time frames are generally applied to the award of 
all PTFP grants, variances in project periods may be based on specific 
circumstances of an individual proposal.

    Authority: The Public Telecommunications Financing Act of 1978, 
as amended, 47 U.S.C. Secs. 390-393, 397-399(b) (Act). (Catalog of 
Federal Domestic Assistance No. 11.550)
Bernadette McGuire-Rivera,
Associate Administrator, Office of Telecommunications and Information 
Applications.
[FR Doc. 96-28772 Filed 11-7-96; 8:45 am]
BILLING CODE 3510-60-P