[Federal Register Volume 62, Number 19 (Wednesday, January 29, 1997)]
[Notices]
[Pages 4382-4393]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-2273]


      

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Part II





Department of Agriculture





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Cooperative State Research, Education, and Extension Service



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Fund for Rural American Program; Grant Availability and Request for 
Proposals; Notice

  Federal Register / Vol. 62, No. 19 / Wednesday, January 29, 1997 / 
Notices  

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DEPARTMENT OF AGRICULTURE

Cooperative State Research, Education, and Extension Service


Request for Proposals (RFP): Fund for Rural America Program

AGENCY: Cooperative State Research, Education, and Extension Service, 
USDA.

ACTION: Announcement of availability of grant funds and request for 
proposals for the Fund for Rural America Program.

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SUMMARY: The Federal Agriculture Improvement and Reform Act of 1996 
established an account in the Treasury of the United States to provide 
funds for rural development programs and a competitive grant program to 
support research, education, and extension activities.
    This notice pertains only to the competitive grant program for 
research, education, and extension activities. It identifies eligible 
participants in the program, the program areas to be supported, and the 
funding levels for each area; provides instructions for preparing and 
submitting proposals; and describes the selection process and 
evaluation criteria to be used to make funding decisions. To obtain 
program application materials, please contact the Proposal Services 
Unit, Grants Management Branch; Office of Extramural Programs; USDA/
CSREES at (202) 401-5048. When calling the Proposal Services Unit, 
please indicate that you are requesting forms for the Fund Program. 
These materials may also be requested via Internet by sending a message 
with your name, mailing address (not e-mail) and phone number to 
[email protected] which states that you want a copy of the application 
materials for the Fiscal Year 1997 Fund Program. The materials will 
then be mailed to you (not e-mailed) as quickly as possible.
    Planning Grant Applications must be received on or before March 24, 
1997. Planning Grant proposals received after March 24, 1997, will not 
be considered for funding.
    Standard Project Grant Applications must be received on or before 
April 28, 1997. Standard project proposals received after April 28, 
1997, will not be considered for funding.

FOR FURTHER INFORMATION CONTACT: Dr. Patrick O'Brien, Cooperative State 
Research, Education, and Extension Service, U.S. Department of 
Agriculture, STOP 2240, Washington, D.C. 20250-2240; telephone (202) 
401-1761.

Table of Contents

Part I. General Information
    A. Legislative Authority
    B. General Definitions
    C. Eligibility
    D. Available Funds and Award Limitations
    E. Matching Funds Requirement
Part II. Program Description
    A. Purpose of the Program
    B. Approach
    C. Focus of the Program
    D. Funding Mechanisms
Part III. Preparation of a Proposal
    A. Program Application Materials
    B. Content of a Proposal
Part IV. Submission of a Proposal
    A. What to Submit
    B. Where and When to Submit
    C. Acknowledgment of Proposals
Part V. Selection Process and Evaluation Criteria
    A. Selection Process
    B. Technical Evaluation Criteria
    C. Relevance Review
Part VI. Supplementary Information
    A. Access to Peer Review Information
    B. Grant Awards
    C. Use of Funds; Changes
    D. Other Federal Statutes and Regulations That Apply
    E. Confidential Aspects of Proposals and Awards

Part I. General Information

A. Legislative Authority

    The Fund for Rural America (The Fund), authorized under Section 793 
of the Federal Agriculture Improvement and Reform Act of 1996 (FAIR 
Act) (7 U.S.C. 2204(f)), is established as an account in the Treasury 
of the United States. The Fund will provide $100 million in each of 
three years for rural development programs and a competitive grant 
program for research, education, and extension activities. Not less 
than one-third of the funds will be available for research, education, 
and extension activities, one-third will be available for the 
Department's rural development programs, and one-third will be 
allocated between the rural development and research activities 
according to the Secretary's discretion.
    Grants are to be awarded on the basis of merit, quality, and 
relevance to advancing the purposes of federally supported agricultural 
research, extension, and education provided in Section 1402 of the 
National Agricultural Research, Extension, and Teaching Policy Act of 
1977, as amended (7 U.S.C. 3101). Section 1402 identifies the following 
purposes:
    ``(1) Enhance the competitiveness of the United States agriculture 
and food industry in an increasingly competitive world environment;
    (2) Increase the long-term productivity of the United States 
agriculture and food industry while maintaining and enhancing the 
natural resource base on which rural America and the United States 
agricultural economy depend;
    (3) Develop new uses and new products for agricultural commodities, 
such as alternative fuels, and develop new crops;
    (4) Support agricultural research and extension to promote economic 
opportunity in rural communities and to meet the increasing demand for 
information and technology transfer throughout the United States 
agriculture industry;
    (5) Improve risk management in the United States agriculture 
industry;
    (6) Improve the safe production and processing of, and adding of 
value to, United States food and fiber resources using methods that 
maintain the balance between yield and environmental soundness;
    (7) Support higher education in agriculture to give the next 
generation of Americans the knowledge, technology, and applications 
necessary to enhance the competitiveness of United States agriculture; 
and
    (8) Maintain an adequate, nutritious, and safe supply of food to 
meet human nutritional needs and requirements.''
    Section 793(c)(2)(A) of the FAIR Act authorizes the Secretary to 
use the Fund for competitive research, education, and extension grants 
to:
    ``(i) Increase international competitiveness, efficiency, and farm 
profitability;
    (ii) Reduce economic and health risks;
    (iii) Conserve and enhance natural resources;
    (iv) Develop new crops, new crop uses, and new agricultural 
applications of biotechnology;
    (v) Enhance animal agricultural resources;
    (vi) Preserve plant and animal germplasm;
    (vii) Increase economic opportunities in farming and rural 
communities; and
    (viii) Expand locally-owned, value-added processing.''

B. General Definitions

    For the purpose of awarding grants under this program, the 
following definitions and applicable:
    (1) Administrator means the Administrator of the Cooperative State 
Research, Education, and Extension Service (CSREES) and any other 
officer or employee of the Department to whom the authority involved 
may be delegated.
    (2) Authorized departmental officer means the Secretary or any 
employee of the Department who has the authority to issue or modify 
grant instruments on behalf of the Secretary.
    (3) Authorized organizational representative means the president or

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chief executive officer of the applicant organization or the official, 
designated by the president or chief executive officer of the applicant 
organization, who has the authority to commit the resources of the 
organization.
    (4) Budget period means the interval of time (usually 12 months) 
into which the project period is divided for budgetary and reporting 
purposes.
    (5) Cash contributions means the applicant's cash outlay, including 
the outlay of money contributed to the applicant by non-Federal third 
parties.
    (6) College or university means an educational institution in any 
State which admits as regular students only persons having a 
certificate of graduation from a school providing secondary education, 
or the recognized equivalent of such a certificate, is legally 
authorized within such State to provide a program of education beyond 
secondary education, provides an educational program for which an 
associate's degree, a bachelor's degree or any other higher degree is 
awarded, is a public or other nonprofit institution, and is accredited 
by a nationally recognized accrediting agency or association.
    (7) Core initiative means the programs encompassing the one-third 
of The Fund designated for research, education, and extension 
activities in the following areas: international competitiveness, 
profitability, and efficiency; environmental stewardship; and rural 
community enhancement.
    (8) Department or USDA means the United States Department of 
Agriculture.
    (9) Grant means the award by the Secretary of funds to a Federal 
research agency, a national laboratory, a college or university or a 
research foundation maintained by a college or university, or a private 
research organization to assist in meeting the costs of conducting, for 
the benefit of the public, an identified project which is intended and 
designed to accomplish the purpose of the program as identified in this 
guidelines.
    (10) Grantee means the organization designated in the grant award 
document as the responsible legal entity to which a grant is awarded.
    (11) Matching means that portion of allowable project costs not 
borne by the Federal Government, including the value of in-kind 
contributions.
    (12) Peer review panel means a group of experts qualified by 
training and experience in particular fields to give expert advice on 
the merit of grant applications in such fields, who evaluate eligible 
proposals submitted to this program in their personal area(s) of 
expertise.
    (13) Private research organization means any non-governmental 
corporation, partnership, proprietorship, trust, or other organization 
with an established and demonstrated capacity to perform research or 
technology transfer which (1) conducts any systematic study directed 
toward new or fuller knowledge and understanding of the subject 
studied, or (2) systematically relates or applies the findings of 
research or scientific experimentation to the application of new 
approaches to problem solving, technologies, or management practices; 
and (3) has facilities, qualified personnel, independent funding, and 
prior projects and accomplishments in research or technology transfer.
    (14) Project director means the single individual designated by the 
grantee in the grant application and approved by the Secretary who is 
responsible for the direction and management of the project.
    (15) Prior approval means written approval evidencing prior consent 
by an authorized departmental officer as defined in (2) above.
    (16) Project means the particular activity within the scope of the 
program supported by a grant award.
    (17) Project period means the period, as stated in the award 
document and modifications thereto, if any, during which Federal 
sponsorship begins and ends.
    (18) Secretary means the Secretary of Agriculture and any other 
officer or employee of the Department to whom the authority involved 
may be delegated.
    (19) Smaller institution means a college or university or a 
research foundation maintained by a college or university that ranks in 
the lower one-third of such institutions on the basis of Federal 
research funds received (excepting monies received under the Fund).
    (20) The Fund means the Fund for Rural America.
    (21) Third party in-kind contributions means non-cash contributions 
of property or services provided by non-Federal third parties, 
including real property, equipment, supplies and other expendable 
property, directly benefiting and specifically identifiable to a funded 
project or program.

C. Eligibility

    Proposals may be submitted by Federal research agencies, national 
laboratories, colleges or universities or research foundations 
maintained by a college or university, or private research 
organizations. National laboratories include Federal laboratories that 
are government-owned contractor-operated or government-owned 
government-operated. If the applicant is a private organization, 
documentation must be submitted establishing that the private 
organization has an established and demonstrated capacity to perform 
research or technology transfer. A programmatic decision on the 
eligibility status of the private organization will be made based on 
the information submitted.

D. Available Funds and Award Limitations

    Under this program, subject to the availability of funds, the 
Secretary may award competitive grants, for periods not to exceed five 
years, for the support of research, education, and extension projects 
to further the programs of the USDA. The first allocation to the Fund 
from the U.S. Treasury is $100,000,000 on January 1, 1997. No less than 
one-third of the amount must be used for competitively awarded 
research, education, and extension grants. Funds for the competitive 
grants program are available to the Department for award during a two-
year period. The Department expects to award approximately $33,464,400 
as grants to meritorious eligible applicants under this request for 
proposals (RFP), including all funds designated for the Secretary's 
Initiative. A subsequent RFP for Fund for Rural America (FRA) Centers 
will be issued for not more than $7,584,000 of FY 1997 funds.
    Funds, not to exceed one percent of total available funds, will be 
used to support the Planning Grants for FRA Centers. Proposals may be 
submitted for Center Planning Grants up to $25,000 per proposed FRA 
Center for a maximum project period of six months; and Standard Project 
Grants up to $600,000 per project for a maximum project period of four 
years. Note that CSREES will solicit Center grant applications only 
from those applicants who are successful in receiving a Center Planning 
Grant. Thus, applicants intending to submit a Center proposal should 
register that intention by submitting a Center Planning Grant 
application.
    Not less than 15 percent of the funds awarded under this program 
for research, education, and extension activities under the Core 
Initiative and the Secretary's Initiative will be used for grants to 
colleges, universities, or research foundations maintained by a college 
or university that rank in the lowest one-third of such entities based 
on Federal research funds received

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(excepting monies received under the Fund).
    Funds awarded under this RFP may not be used for the construction 
of a new building or the acquisition, expansion, remodeling, or 
alteration of an existing building.

E. Matching Funds Requirement

    A grant awarded for applied research that is commodity-specific and 
that is not of national scope must be matched by the recipient with 
equal funds from a non-Federal source. The matching requirement may be 
satisfied through allowable costs incurred by the recipient or 
subrecipient and through third party in-kind contributions.
    There is no matching requirement for other grants awarded under 
this RFP.

Part II. Program Description

A. Purpose of the Program.

    The creation of the Fund coincides with fundamental reforms to 
Federal farm programs. Commodity program deficiency payments are 
eliminated and replaced with transition payments that are to decline 
over seven years. These policy changes are likely to have substantial 
impacts on production agriculture, most apparently by shifting price 
and income risk management away from government programs to farmers 
themselves.
    At the same time, rural communities are experiencing the effects of 
transition due to changes in Federal natural resource policy, 
demographic shifts and increasing globalization. Farming is no longer 
the dominant source of economic activity in rural America. Most rural 
jobs are found in manufacturing, service or government. The natural 
resource base of rural areas often is valued more for its amenities as 
a place to retire, recreate and reside than it is for extractive 
industrial development such as timber harvesting and mining as 
demonstrated by recent population gains in high amenity communities. 
Changes in international trade policy may have put pressure on low-
skill rural jobs from overseas competitors.
    Given the dynamic changes and challenges facing agriculture and 
rural communities in general, The Fund provides a short-term 
opportunity (3 years) to invest in unique, innovative, high-impact 
research, education, and extension programs and projects to aid 
farmers, ranchers, and rural communities during this time of transition 
to place themselves in a more competitive position for the future. As a 
new and distinct element in USDA's portfolio of research, education, 
and extension programs, The Fund can mobilize the agricultural 
knowledge system to respond to the emerging problems faced by 
agricultural producers and rural communities during this time of 
change.
    The Fund provides an opportunity to develop a new program to 
complement USDA's existing portfolio of fundamental and applied 
research, extension, and higher education programs. The Fund allows, 
for the first time, the integration of research, education, and 
extension activities for joint funding. Successful application and 
adoption of research findings requires explicit coordination with 
education and extension activities. The Fund will encourage 
collaboration among educators, research scientists, and extension 
personnel to jointly identify and solve problems relevant to rural 
communities. The aim of The Fund is to advance the findings of research 
into practical applications to address current and emerging problems 
and to develop new opportunities for the benefit of rural America and 
the nation.

B. Approach

    Approaches to be Encouraged: The Fund will be available for 
applied, developmental, and adaptive research; technology transfer; 
extension and related outreach activities; and education. Projects will 
be awarded for short- and intermediate-term application of existing 
investments in research and development (R&D) through integration of 
research, extension, and education activities. The Fund grants program 
will emphasize biological, physical, and social sciences to address 
systems-based problems. This requires involvement of affected parties 
within the system (such as producers, commodity groups, environmental 
interests, rural communities, and other program beneficiaries); 
therefore, The Fund will give priority to projects that are designed 
and proposed by eligible grant recipients in collaboration with 
institutions, organizations, and communities of interest. Strong 
partnerships will be critical to leverage and apply research, 
education, and extension investments to address user needs and solve 
community-defined problems.
    For the purposes of assessing proposals submitted to The Fund, the 
following priorities will apply:
    A Systems-based approach takes a broad rather than reductionist 
view, and thus describes how a set of elements or components are 
related and how those relationships are relevant to problematic 
situations. The Fund strongly encourages research, extension, and 
education activities that explicitly recognize, account for, and 
enhance the interactions among agricultural, forestry, or agribusiness 
activities, natural resource or environmental quality, and economic or 
community well being.
    Inter- or multidiciplinary approaches integrate or combine separate 
discoveries by scientists in different disciplines that can have their 
greatest potential value realized when related to one another. For 
example, findings from genetics, plant physiology, crop breeding, and 
economics are relevant to exploring alternatives for making crops more 
disease resistant without sacrificing other valued attributes and 
characteristics. The Fund strongly encourages proposals that integrate 
the findings or knowledge of multiple disciplines in order to gain the 
comprehensive understanding needed to solve complex problems.
    Leveraging prior investments in research and technology development 
(R&D) is essential to maximizing the impact of The Fund. Many federal 
research grant programs support basic research (the creation of new 
knowledge) or fundamental technology development (the development of 
prototypes or broadly applicable technologies). Although the private 
sector also has a relatively large role in applied research and more 
specific technology development, there are many research findings and 
new technologies that remain unexploited as keys to resolving natural 
resource management and other problems of agricultural, forest, and 
rural systems and that therefore require public support. The Fund 
strongly encourages proposals that: (1) take advantage of prior R&D 
investments in adapting those findings to actual production, 
processing, marketing, environmental, or community systems, and (2) 
investigate and propose solutions to overcoming barriers to adoption of 
new or improved technologies, particularly those technologies with the 
potential to resolve natural resource and environmental quality 
problems in agricultural and forest systems.
    Innovative collaborations and partnerships are those designed to 
build sustainable solutions to agricultural and rural problems through 
community participation. Communities may include geographic locations, 
as well as broad communities of interest such as commodity groups, 
consumer and environmental interests, agricultural producers, and other 
research, education, and extension users and beneficiaries. It is 
increasingly recognized that long-run solutions to

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agricultural and community issues require inclusive approaches 
encompassing diverse individuals and groups affected by the issue and 
the potential solutions. The Fund strongly encourages proposals that: 
(1) use collaborations and partnerships among institutions (including 
Federal agencies, national laboratories, established research 
organizations, and colleges and universities including community 
colleges and tribal colleges, as well as state agencies, associations 
and other interests) to build and enhance effective linkages with local 
communities, user groups, and their grass-roots leadership, and (2) 
bring together diverse organizations and interests to derive innovative 
approaches to problems and forge partnerships for the future.

C. Focus of the Program

    The Fund entails two initiatives: (1) The Fund Care Initiative 
which addresses and links international competitiveness, profitability, 
and efficiency; environmental stewardship; and rural community 
enhancement and, (2) The Secretary's Initiative to Ensure a Safe, 
Competitive, Nutritional and Accessible Food System.
1. The Fund Core Initiative
    Proposals will be solicited at three levels: (1) single issue areas 
that address barriers to solving systemic problems; (2) projects that 
include approaches at the intersection of two sets of issues; and (3) 
projects that address issues that relate all of the issue areas. 
Standard grant proposals may include multinational collaborations. At 
the fully integrated level, consortia, centers, and other multi-
institutional collaborations will be considered.
    The Fund will seek project proposals that will provide solutions to 
problems and advance new opportunities within three objectives that 
encompass the eight purposes of the enabling legislation (FAIR Act 
Section 703(c)(2)(A)), including:
    (1) International competitiveness, profitability, and efficiency. 
This set of objectives centers on issues and opportunities arising from 
the changes in farm and trade legislation leading to globalization of 
markets in food, feed, and fiber, including exposure to risk, barriers 
to trade, and new market opportunities. In addition, it will address 
plant and animal systems and new technologies and management practices, 
particularly those which improve farm efficiency and profitability. 
This program incorporates the following purposes included in The Fund 
provisions of the FAIR Act: (1) increase international competitiveness, 
efficiency, and farm profitability; (2) reduce economic and health 
risks; (4) develop new crops, new crop uses, and new agricultural 
applications of biotechnology; (5) enhance animal agriculture 
resources; (6) preserve plant and animal germplasm. This set of 
objectives also may contribute to achieving purposes (7) increase 
economic opportunities in farming and rural communities, and (8) expand 
locally-owned, value-added processing, of the enabling legislation.
    Examples of potential research, education, and extension activities 
include, but are not limited to:

--Applied and adaptive research to develop new crops for value-added 
processing, to meet emerging markets, and increase flexibility and 
responsiveness to risk.
--Research to improve the science base for and compliance with sanitary 
and phytosanitary standards for meat and other agricultural and food 
products in international trade; integration of this with analysis of 
trade opportunities and barriers.
--Development and testing of new curricula to internationalize academic 
programs in agriculture, natural resources, and related sciences.
--Extension to improve producers' risk management knowledge, skills, 
and practices.

    (2) Environmental stewardship. This set of objectives focuses on 
stewardship of the natural resource base underlying agriculture and 
forestry, as well as the amenity-based economic activities of rural 
communities. Several issues in this area include groundwater 
contamination; wildlife habitat loss; air and water pollution from 
agricultural activities, including animal waste; and soil erosion and 
decline in quality. It addresses the following purposes of the 
legislation: (3) conserve and enhance natural resources; (4) develop 
new crops, new crop uses, and new agricultural applications of 
biotechnology; and (6) preserve plant and animal germplasm.
    Examples of potential research, education, and extension activities 
include, but are not limited to:

--Adoptive research to develop new strategies for animal waste 
management such as utilizing advances in genetics to directly and 
indirectly (through feeds) reduce environmental contaminants in animal 
waste.
--Technology development for mass rearing of biological control agents 
along with grower education.
--Extension on new water-efficient farming practices.
--Economic analysis of the amenity value of forests, wildlife and the 
biological landscape.
--Utilizing agroecosystems to line agricultural and natural resource 
education.

    (3) Rural Community enhancement. This objective seeks to address 
the problems of outmigration, persistent poverty, unemployment, and 
low-skill and low-wage jobs in rural communities. Rural community 
enhancement objectives also include quality of life issues such as the 
cost and availability of services in rural areas, particularly those 
that influence health risks. This objective also could be achieved 
through the development of new crops, new crop uses and locally-owned, 
valued-added processing as rural economic development strategies in 
natural resource and agriculturally-based areas. This objective links 
farm and forest profitability to innovative practices, and crops and 
crop uses to community advancement. This issue set can address a broad 
range of purposes in The Fund including (1) increase international 
competitiveness, efficiency, and farm profitability; (2) reduce 
economic and health risks; (4) develop new crops, new crop uses, and 
new agricultural applications of biotechnology; (7) increase economic 
opportunities in farming and rural communities; and (8) expand locally-
owned, value-added processing.

    Examples of potential research, education, and extension activities 
include, but are not limited to:

--Local leadership development.
--Technology transfer models for linking advances in research to job 
growth, waste management and related challenges.
--Extension approaches to community strategic planning for jobs, 
resources, services, and economic stability.
--Risk assessment of vulnerabilities of rural, and isolated elderly and 
poor.
--Innovations in delivery of education and information in rural areas.

BILLING CODE 3410-22-M

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[GRAPHIC] [TIFF OMITTED] TN29JA97.000



 BILLING CODE 3410-22-C

    Today's most pressing problems and emerging issues contain elements 
of each of the three constellations of issues to be addressed through 
The Fund, and are found at the intersections of the three areas. The 
essential character of The Fund competitive grants program is defined 
by emphasis on the intersections of problems. The greatest challenge to 
agriculture and rural America is trying to solve problems in the 
context of related issues. For example, community economic development 
strategies based on extraction of natural resources come into conflict 
with environmental conservation. The use of no-till soil conservation 
methods is suspected to be resulting in vomitoxin in wheat, 
jeopardizing U.S. wheat exports. Increasing global competitiveness can 
result in loss of low-skill jobs in rural communities. The Fund 
competitive grants program will give highest priority to projects which 
address multiple, contextual issues; it will also support activities to 
overcome barriers in knowledge or technology which will enable 
solutions to complex, interrelated issues.
2. The Secretary's Initiative to Ensure a Safe, Competitive, 
Nutritional and Accessible Food System
    Providing food that is nutritious, safe, affordable and accessible 
is vital to agricultural production, to human health, and to the 
maintenance of the U.S. economy. Therefore the Secretary of Agriculture 
has set aside an additional $10 million (approximately $9.4 million 
net) of the Fund to support research, education, and extension 
activities that hold exceptional promise to provide needed information 
and education in the following areas:
    1. Research, technology transfer, and education for small meat and 
poultry processors to implement HACCP regulations for the control of 
hazardous pathogens. In July 1996, the USDA Food Safety and Inspection 
Service (FSIS) issued final regulations to strengthen food safety 
controls in meat and poultry processing through a system known as 
Hazard Analysis and Critical Control Points (HACCP). HACCP requires 
meat and poultry processors to develop systematic plans for controlling 
physical, chemical and biological hazards, including microbial hazards 
in their processing plants. The deadline for compliance for ``small'' 
processing plants (between 10 to 499 employees) is 1999. The deadline 
for ``very small'' processing plants (less than 10 employees or with 
annual sales under $2.5 million) is the year 2000. According to FSIS, 
about 8,300 small and very small processing plants will be affected. 
The resources and capabilities necessary for implementation of HACCP 
are limited by the size of these firms. They will need research-based 
educational assistance to comply with the regulations in order to 
continue producing a safe product. Assistance through the Fund will 
ensure that these firms stay competitive in the meat processing 
industry and provide farmers

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and ranchers with competitive marketing outlets for their livestock.
    Examples of potential research, education and extension activities 
include, but are not limited to:

--Assessment of educational needs of small and very small plants to 
achieve HACCP implementation.
--Analysis of the hazards unique to small and very small plants 
including biological, chemical, or physical risks.
--Applied and adaptive research on the control of microbials and 
related hazards, particularly in small plants.
--Training on monitoring protocols and recordkeeping to trace 
contamination to its source.
--Development and delivery of guidance and educational materials, 
methods and programs.
    2. Research, education, and extension to improve the competitive 
position of small, independent livestock producers in an increasingly 
concentrated market. Increasing specialization and rapid growth in the 
meat packing industry has created a market situation with four large 
firms slaughtering about 80 percent of the fed cattle in the United 
States. A similar level of concentration exists in the lamb industry 
and concentration in the hog industry is increasing. Farmers need 
access to current market information and the most up-to-date marketing 
tools to market livestock to their best advantage.
    USDA is making changes in its regulatory programs and market price 
reporting in response to recommendations from the USDA Advisory 
Committee on Agricultural Concentration. An increased emphasis on 
review of industry trade practices and competition in the industry is 
underway. At the same time, the Fund research, education and extension 
programs will supplement regulatory efforts by providing independent 
producers with knowledge, skills, and technologies that will enable 
them to remain profitable and competitive in the livestock market.
    Alternative marketing tools and new market outlets are needed to 
keep small sellers competitive in the livestock industry. Production 
technologies and management systems appropriate for smaller sellers are 
needed to identify and enhance the competitive position of small 
sellers. For example, small sellers may have the ability to meet a 
growing number of niche markets for specialized meat products. 
Research, education, and extension is needed to test this potential. 
Emphasis will be given to the needs of small and moderate-sized 
livestock producers.
    Examples of potential research, education and extension activities 
include, but are not limited to:

--Research, development and on-farm extension education about low-cost 
production facilities, such as hoop housing for swine production, 
combined with management systems and genetics appropriate to these 
facilities.
--Research and extension on management-intensive grazing systems for 
beef and dairy production to realize potential for reduced capital and 
feed costs through greater use of management skills for optimizing 
labor availability and the natural benefits of grazing pastures.
--Research and extension on integrated crop and livestock systems. 
Smaller, more diversified farms typically integrate ``economies of 
scope'' compared to larger, industrialized farms that concentrate on 
specialization and ``economies of scale.'' Research and extension 
education to enhance crop and livestock integration in ways that 
increase efficiencies, reduce costs and prevent environmental pollution 
can strengthen the competitive position of small producers.
--Economic analysis and market feasibility studies are needed to 
identify new and expanded market opportunities where small producers 
would have tools and strategies to meet consumer demand (both domestic 
and international) for specialized, lean or natural meats and 
specialized value-added products. Opportunities for cooperative 
marketing and value-added strategies for meat production and processing 
could be explored and demonstrated through innovative extension and 
outreach programs.
--Technology assessment comparing the technological resources of large, 
specialized producers with the technological needs of small producers 
to identify and transfer existing technology across all sizes and 
scales and/or identify the specific research and education needs of 
each.
--Analysis to evaluate the economic impact of integrator's practices 
and procedures on contract poultry growers. Greater understanding of 
the underlying economics in the poultry industry is needed to guide 
policy development. Research and analysis is needed to examine the 
growers' investments, length of contracts, exposure to early 
termination, other risks, operating characteristics (e.g., type of 
poultry houses, equipment and layout periods), operating costs by type 
of cost (labor, capital, fuels, utilities, dead bird disposal, etc.), 
responsibility for costs (grower or integrator), productivity, revenue 
and contract settlements.
--Development of new research methods and procedures to collect 
necessary data and measures for reporting of line-of-business profits 
for meat packers. Detailed financial and statistical data are needed to 
generate meaningful industry performance indicators, such as 
profitability, procurement expense, selling expense, research and 
development costs, and various financial ratios. The collection of 
appropriate data is needed for economic analysis of industry structure, 
conduct and performance issues. Cost allocations, revenue allocations, 
definitions of lines of business, and frequency of reporting are 
examples of issues needing research.
    3. Research, education and extension to identify and utilize 
phytonutrients with cancer-prevention potential in the design of 
functional foods for disease prevention. Current research on cancer and 
diet linkages has led to the identification of over 600 plant-derived 
chemicals (phytochemicals, or phytonutrients) along with non-nutrient 
plant components with cancer-prevention potential. These include anti-
oxidants such as beta carotene and vitamins E and C. Further research 
is needed to understand the independent and interactive effects of 
phytonutrients and to identify additional protective components. 
Genetic engineering techniques make it possible to transfer, enhance or 
suppress specific genes from one plant species to another for the 
development of ``functional foods.'' Functional foods refers to any 
modified food or food ingredient with the potential to provide a health 
benefit and to prevent against disease. Congress called for greater 
research efforts to develop new varieties of fruits and vegetables for 
the prevention of diet-related diseases in the FAIR Act Sec. 1424A, 
Pilot Research Program to Combine Medical and Agricultural Research.
    Following on the research recommendations outlined by the Institute 
of Medicine of the National Academy of Sciences, examples of potential 
research, education and extension activities include, but are not 
limited to:

--Research to create foods that have increased amounts of the 
beneficial components found in fruits, vegetables and grains.

[[Page 4388]]

--Methods to monitor the effectiveness of functional foods on improving 
health and preventing diseases.
--Research and analysis to support the issuance of regulatory 
guidelines to ensure the safety and efficacy of functional food 
products.
--Research on food choice behavior leading to extension and education 
programs designed to increase the intake of foods rich in 
phytonutrients.

    4. Research, education and extension to promote increased gleaning 
and food recovery. The most commonly referenced information on the loss 
and waste of food at various stages of the food system is based on 1974 
data assembled by the General Accounting Office. This information does 
not reflect current trends in food production, transport, storage, 
acquisition or consumption patterns and preferences--all of which have 
significantly changed over the past two decades.
    Examples of research, education and extension activities include, 
but are not limited to:

--Current information concerning the source(s) of greatest loss in 
order to facilitate an expansion in gleaning and food recovery 
activities.
--Research and extension efforts to develop and implement mechanisms 
such as community-operated canneries or dehydration facilities to 
extend the ``shelf life'' of recovery food.
--Extension education and outreach to provide food safety training in 
safe food handling practices for organizations involved in gleaning and 
food recovery programs.

E. Funding Mechanisms

    Two funding mechanisms will be utilized to support projects under 
this REFP: (1) Standard Program Grants (for The Fund Core Initiative 
and The Secretary's Initiative), (2) Planning Grants for Fund for Rural 
America (FRA) Centers (for the Fund Core Initiative only).
    Standard Project Grants Opportunities for research, education and 
extension in the aforementioned areas of the Fund Core Initiative and 
the Secretary's Initiative have been underscored as a means of 
providing exceptional promise for solving current and unforeseen 
problems in rural communities and agriculture. Successful Standard 
Project Grants will form the basis of The Fund by bringing a broad 
array of expertise and approaches to individual or collaborative 
efforts in specified problem areas and/or which relate two or more of 
the issue areas described in the Fund Core Initiative. Standard Project 
Grants may involve separate research, education, and extension 
activities to fill gaps in knowledge or programs which constitute 
barriers to contextual problem solving. The Fund emphasizes multi-
functional, integrated problem solving, however. See ``Preparation of a 
Proposal'' section for details on Standard Project Grant application 
requirements.
    Planning Grants for a FRA Center CSREES intends to assist eligible 
applicants as described in Part I.C. of this RFP to establish centers 
that bring together individuals, institutions, states and/or regions in 
support of research, education and extension in a collaborative process 
towards a common goal. An ``FRA Center'' is expected to meet needs in 
agricultural research, education and extension that cannot be met 
through funding of separate efforts. It is the intent of CSREES to 
promote collaboration, open communication, exchange of information and 
resources, and integration of activities among individuals, 
institutions, states or regions now working independently into 
coordinated efforts around common themes that span institutional or 
geographical boundaries. By supporting Centers, CSREES will bring 
together a critical mass of individuals and expertise to address 
problems and issues outlined to be important to rural communities, 
producers, and the agricultural enterprise. Centers will minimize 
isolation and over-competitiveness, reduce duplication of effort, 
enhance multidisciplinary, multifunctional and collaborative efforts, 
and provide an accessible source of expert information, technology, and 
education upon which the public can draw.
    While FRA Centers should focus on the purposes of the Fund, it is 
expected that each Center will broadly span functional areas and 
address problems that bridge research, education and extension. FRA 
Centers may focus on a defined issue with multiple facets which span 
the three main goals of the Core Initiative, or may be established to 
identify opportunities to solve problems through broad strategies such 
as technology transfer. Funding will be provided to eligible applicants 
for the management, administration and technical operations of the 
Center; however, construction, acquisition, expansion, remodeling, or 
alteration of facilities or buildings and purchase of fixed equipment 
with Fund grant money is prohibited.
    In preparation for a subsequent solicitation of Center 
applications, CSREES will support a limited number of FRA Center 
Planning Grants. The purpose of Planning Grants will be to provide up 
to $25,000 of funds to enable project leaders to bring together the 
necessary people and technology to plan a Center application. By 
awarding Center Planning Grants, CSREES will enable a greater number of 
groups to be at an equal stage of planning when the solicitation for 
Center grants occurs, allowing for the submission of high quality 
Center applications. CSREES will solicit Center applications only from 
those applicants who are successful in receiving a Center Planning 
Grant. Thus, applicants intending to submit an FRA Center proposal 
should register that intention by submitting a Center Planning Grant 
Application. The current RFP Planning Grants will support only the 
planning stage of a FRA Center. It is expected that Center applications 
will be solicited approximately 4 to 6 months after Center Planning 
Grants are awarded. See ``Preparation of a Proposal'' section for 
Centers Planning Grant application requirements.

Part III. Preparation of a Proposal

A. Program Application Materials

    Program application materials will be made available to eligible 
entities upon request. These materials include information about the 
purpose of the program, how the program will be conducted, and the 
required contents of a proposal, as well as the forms needed to prepare 
and submit grant applications under the program.
    To obtain application materials, please contact the Proposal 
Services Unit, Grants Management Branch; Office of Extramural Programs; 
USDA/CSREES at (202) 401-5048. When calling the Proposal Services Unit, 
please indicate that you are requesting forms for the Fund Program. 
These materials may also be requested via Internet by sending a message 
with your name, mailing address (not e-mail) and phone number to 
[email protected] and state that you want a copy of the application 
materials for the Fiscal Year 1997 Fund for Rural America Program. The 
materials will then be mailed to you (not e-mailed) as quickly as 
possible.

B. Content of a Proposal

    A proposal should contain the following:
    1. Cover Page: Complete the ``Application for Funding'', Form 
CSREES-661, in its entirety.
    a. Note that providing a Social Security Number is voluntary, but 
the number is an integral part of the

[[Page 4389]]

CSREES information system and will assist in the processing of the 
proposal.
    b. One copy of the ``Application for Funding'' form must contain 
the pen-and-ink signatures of the project director(s) and authorized 
organizational representative for the applicant organization.
    c. Note that by signing the ``Application for Funding'' form the 
applicant is providing the required certifications set forth in 7 CFR 
Part 3017, as amended by 61 Federal Register 250, January 4, 1996, 
regarding Debarment and Suspension and Drug-Free Workplace, and 7 CFR 
Part 3018, regarding Lobbying. The certification forms are included in 
this application package for informational purposes only. It is not 
necessary to submit the forms to USDA.
    2. Table of Contents: For ease in locating information, each 
proposal must contain a detailed Table of Contents immediately after 
Form CSREES-661, ``Application for Funding.'' The Table of Contents 
should include page numbers for each component of the proposal. 
Pagination should begin immediately following the Table of Contents.
    3. Project Summary: The proposal must contain a project summary of 
250 words or less on a separate page. This page must include the title 
of the project and the names of the primary project director(s) and the 
applicant organization, followed by the summary. The summary should be 
self-contained, and should describe the overall goals and relevance of 
the project. The summary should also contain a listing of all 
organizations involved in the project. The Project Summary should 
immediately follow the Table of Contents.
    4. Project Narrative: All proposals are to be submitted on standard 
8\1/2\'' x 11'' paper with typing on one side of the page only. In 
addition, margins must be at least 1'', type must be 12 characters per 
inch (12 pitch or 10 point) or larger, no more than 6 lines per inch, 
and there should be no page reductions. If applicable, proposals should 
include original illustrations (photographs, color prints, etc.) in all 
copies of the proposal to prevent loss of meaning through poor quality 
reproduction. Such illustrations are not included in the page 
limitation for project narratives.

A. Standard Project Narrative

    The narrative portion of the Standard Project Proposal is limited 
to 20 pages of text.
    1. Introduction. A clear statement of the goal(s) and objective(s) 
of the project should be included. The problem should be set within the 
context of work that has come before it and in context of the present-
day situation. Summarize the body of knowledge which substantiates the 
need for the proposed project. Preliminary information pertinent to the 
proposed work should also be cited.
    2. Rationale and significance. Substantiate the need for the 
proposed project. Describe the impact of the project on the end user. 
Describe the project's specific relationship to the purposes of the 
Fund, to the purposes of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977, as amended (7 U.S.C. 3107), and to the 
problem addressed.
    3. Objectives and approach. Cite and discuss the specific 
objective(s) to be accomplished under the project. A detailed 
description of the approach must include:
    Techniques and/or procedures used to carry out the 
proposed activities and for accomplishing the objectives
    The results expected
    Limitations
    4. Time table. Tentative schedule for conducting the major steps of 
the project.
    5. Evaluation. Provide a plan for assessing and evaluating the 
accomplishments of the stated objectives during the conduct of the 
project and describe ways to determine the effectiveness of the end 
results upon conclusion of the project.
    6. Relationship to partners, communities of interest, and 
stakeholders. Describe how the project will involve partners and 
communities of interest. Describe how and by whom the focus and scope 
of the project were determined, how partners will be involved during 
the course of the project, and how end users will be impacted by 
results. Clearly describe how results and information will be 
disseminated or transferred to end users. Evidence that arrangements 
necessary for collaborative partnerships have been discussed with the 
parties involved and can realistically be expected to come to fruition, 
or have actually been finalized contingent on an award under this 
program, must be provided via letters by the parties involved. A letter 
from a university must be signed by the dean or research director, a 
representative of the university's central administration, or a higher 
university official. A letter from a business or industry must be 
signed by an official who has the authority to commit the resources of 
the organization. Such letters should be placed immediately following 
the Project Narrative in the proposal.
    7. Coordination and management plan. Describe how the project will 
be coordinated among the various participants and clearly describe the 
nature of the collaborations. Describe plans for management of the 
project to ensure its proper and efficient administration.

B. Planning Grants for FRA Centers Narrative

    In preparing Center Planning Grants, applicants should include the 
following information in place of the information identified in Part 
III.4.A.:
    (1) Center Concept: Describe the Center to be proposed, how the 
Center fits within the objectives of the Fund, how the Center bridges 
research, education and/or extension, how the Center will add value 
over funding of separate efforts (2 pages maximum).
    (2) Planning Activity: Describe the activities to be included under 
the planning portion of the Center activity. Activities could include: 
meetings of involved parties, forums to gain input from communities of 
interest, review and assessment of reports of agricultural and rural 
communities strategic plans and objectives, etc. (2 pages maximum).
    (3) Collaborative Arrangements: Identify collaborations and provide 
a full explanation of the nature of the collaborations (1 page 
maximum).
    (4) Timetable: Describe how planning activities can be completed in 
a four- to six-month time period (expected length of time between award 
of Center Planning Grants and solicitation of Center proposals).
    5. Key Personnel: Identify the primary project director and the co-
project director(s) and other key personnel required for this project. 
Include vitae that provide adequate information so that proposal 
reviewers can make an informed judgment as to their capabilities and 
experience.
    6. Conflict of Interest List: A Conflict of Interest List must be 
provided for individuals identified as key personnel. Each list should 
be on a separate page and include alphabetically the full names of the 
individuals in the following categories: (1) all collaborators on 
projects within the past five years, including current and planned 
collaborations; (2) all co-authors on publications within the past five 
years, including pending publications and submissions; (3) all persons 
in your field with whom you have had a consulting or financial 
arrangement within the past five years who would stand to gain by 
seeing the project funded; and (4) all thesis or postdoctoral advisees/
advisors within the past five years.

[[Page 4390]]

    7. Budget
    A. Budget Form: Prepare the budget, Form CSREES-55, in accordance 
with instructions provided with the form. A budget form is required for 
each year of requested support. In addition, a summary budget is 
required detailing the requested total support for the overall project 
period. The budget form may be reproduced as needed by applicants. 
Funds may be requested under any of the categories listed on the form, 
provided that the item or service for which support is requested is 
allowable under the authorizing legislation, the applicable Federal 
cost principles, and these program guidelines, and can be justified as 
necessary for the successful conduct of the proposed project.
    The following guidelines should be used in developing your proposal 
budget(s):
    1. Salaries and Wages. Salaries and wages are allowable charges and 
may be requested for personnel who will be working on the project in 
proportion to the time such personnel will devote to the project. If 
salary funds are requested, the number of Senior and Other Personnel 
and the number of CSREES Funded Work Months must be shown in the spaces 
provided. Grant funds may not be used to augment the total salary or 
rate of salary of project personnel or to reimburse them for time in 
addition to a regular full-time salary covering the same general period 
of employment.
    2. Fringe Benefits. Funds may be requested for fringe benefit costs 
if the usual accounting practices of your organization provide that 
organizational contributions to employee benefits (social security, 
retirement, etc.) be treated as direct costs. Fringe benefit costs may 
be included only for those personnel whose salaries are charged as a 
direct cost to the project.
    3. Nonexpendable Equipment. Nonexpendable equipment means tangible 
nonexpendable personal property including exempt property charged 
directly to the award having a useful life of more than one year and an 
acquisition cost of $5,000 or more per unit. As such, items of 
necessary instrumentation or other nonexpendable equipment should be 
listed individually by description and estimated cost.
    In addition, pursuant to Section 716(b) of Pub. L. No. 104-180 (the 
Agriculture, Rural Development, Food and Drug Administration, and 
Related Agencies Appropriations Act, 1997), in the case of any 
equipment or product that may be authorized to be purchased with funds 
provided under this program, entities receiving such funds are 
encouraged to use such funds to purchase only American-made equipment 
or products.
    4. Materials and Supplies. The types of expendable materials and 
supplies which are required to carry out the project should be 
indicated in general terms with estimated costs.
    5. Travel. The type and extent of travel and its relationship to 
project objectives should be described briefly and justified. If 
foreign travel is proposed, the country to be visited, the specific 
purpose of the travel, a brief itinerary, inclusive dates of travel, 
and estimated cost must be provided for each trip. Airfare allowances 
normally will not exceed round-trip jet economy air accommodations. 
U.S. flag carriers must be used when available. See 7 CFR Part 
3015.205(b)(4) for further guidance.
    6. Publication Costs/Page Charges. Anticipated costs of preparing 
and publishing results of the research being proposed (including page 
charges, necessary illustrations, and the cost of a reasonable number 
of coverless reprints) may be estimated and charged against the grant.
    7. Computer (ADPE) Costs. Reimbursement for the costs of using 
specialized facilities (such as a university- or department-controlled 
computer mainframe or data processing center) may be requested if such 
services are required for completion of the work.
    8. All Other Direct Costs. Anticipated direct project charges not 
included in other budget categories must be itemized with estimated 
costs and justified on a separate sheet of paper attached to Form 
CSREES-55. This also applies to revised budgets, as the item(s) and 
dollar amount(s) may change. Examples may include space rental at 
remote locations, subcontractual costs, and charges for consulting 
services. You are encouraged to consult the ``Instructions for 
Completing Form CSREES-55, Budget,'' of the Application Kit for 
detailed guidance relating to this budget category.
    9. Indirect Costs. If requested, the current rate negotiated with 
the cognizant Federal negotiating agency should be used. Indirect costs 
may not exceed the negotiated rate. If no rate has been negotiated, a 
reasonable dollar amount in lieu of indirect costs may be requested, 
which will be subject to approval by USDA. In that grants supported by 
The Fund may include numerous activities other than traditional 
instruction or research, the institution may choose to request rates 
that are lower than the institution's approved negotiated research or 
instructional rate. Center Planning Grants may request indirect costs 
up to a maximum of 8% of Total Federal Funds Awarded for this project.
    Applications from colleges and universities that are not submitted 
through an Office of Sponsored Programs (or equivalent thereto) must 
provide a statement in the budget narrative verifying that the indirect 
costs requested are in accordance with institutional policies.

B. Matching Funds (if required)

    (1) Proposals must include written verification of commitments of 
matching support (including both cash and in-kind contributions) from 
third parties. Written verification means:
    (a) For any third party cash contributions, a separate pledge 
agreement for each donation, signed by the authorized organizational 
representatives of the donor organization and the applicant 
organization, which must include: (1) The name, address, and telephone 
number of the donor; (2) the name of the applicant organization; (3) 
the title of the project for which the donation is made; (4) the dollar 
amount of the cash donation; and (5) a statement that the donor will 
pay the cash contribution during the grant period; and
    (b) For any third party in-kind contributions, a separate pledge 
agreement for each contribution, signed by the authorized 
organizational representatives of the donor organization and the 
applicant organization, which must include: (1) the name, address, and 
telephone number of the donor; (2) the name of the applicant 
organization; (3) the title of the project for which the donation is 
made; (4) a good faith estimate of the current fair market value of the 
in-kind contribution; and (5) a statement that the donor will make the 
contribution during the grant period.
    (2) The sources and amount of all matching support from outside the 
applicant institution should be summarized on a separate page and 
placed in the proposal immediately following the budget form. All 
pledge agreements must be placed in the proposal immediately following 
the summary of matching support.
    (3) In order to use a cost as matching support, the cost must be 
allowable under the program.
    c. Budget Narrative: All salaries and wages, nonexpendable 
equipment, foreign travel, subcontracts, and ``All Other Direct Costs'' 
for which support is requested must be individually listed (with costs) 
and justified on a separate sheet of paper and placed immediately 
behind Form CSREES-55.

[[Page 4391]]

    8. Current and Pending Support: All proposals must contain Form 
CSREES-663 listing other current public or private support (including 
in-house support) to which key personnel identified in the proposal 
have committed portions of their time, whether or not salary support 
for person(s) involved is included in the budget. Analogous information 
must be provided for any pending proposals that are being considered 
by, or that will be submitted in the near future to, other possible 
sponsors, including other USDA programs or agencies. Concurrent 
submission of identical or similar proposals to the possible sponsors 
will not prejudice proposal review or evaluation by the Administrator 
for this purpose. However, a proposal that duplicates or overlaps 
substantially with a proposal already reviewed and funded (or that will 
be funded) by another organization or agency will not be funded under 
this program.
    9. Assurance Statement(s), (Form CSREES-662): A number of 
situations encountered in the conduct of projects require special 
assurances, supporting documentation, etc., before funding can be 
approved for the project. In addition to any other situation that may 
exist with regard to a particular project, it is expected that some 
applications submitted in response to these guidelines will involve the 
following:
    1. Recombinant DNA or RNA Research. As stated in 7 CFR Part 
3015.205(b)(3), all key personnel identified in the proposal and all 
endorsing officials of the proposing organization are required to 
comply with the guidelines established by the National Institutes of 
Health entitled, ``Guidelines for Research Involving Recombinant DNA 
Molecules,'' as revised. If your project proposes to use recombinant 
DNA or RNA techniques, the application must so indicate by checking the 
``yes'' box in Block 19 of Form CSREES-661 (``Application for 
Funding'') and by completing Section A of Form CSREES-662. For 
applicable proposals recommended for funding, Institutional Biosafety 
Committee approval is required before CSREES funds will be released.
    2. Animal Care. Responsibility for the humane care and treatment of 
live vertebrate animals used in any grant project supported with funds 
provided by CSREES rests with the performing organization. Where a 
project involves the use of living vertebrate animals for experimental 
purposes, all key project personnel identified in a proposal and all 
endorsing officials of the proposing organization are required to 
comply with the applicable provisions of the Animal Welfare Act of 
1966, as amended (7 U.S.C. 2131 et seq.) and the regulations 
promulgated thereunder by the Secretary in 9 CFR Parts 1, 2, 3, and 4 
pertaining to the care, handling, and treatment of these animals. If 
your project will involve these animals or activities, you must check 
the ``yes'' box in Block 20 of Form CSREES-661 and complete Section B 
of Form CSREES-662. In the event a project involving the use of live 
vertebrate animals results in a grant award, funds will be released 
only after the Institutional Animal Care and Use Committee has approved 
the project.
    3. Protection of Human Subjects. Responsibility for safeguarding 
the rights and welfare of human subjects used in any grant project 
supported with funds provided by CSREES rests with the performing 
organization. Guidance on this issue is contained in the National 
Research Act, Pub. L. No. 93-348, as amended, and implementing 
regulations promulgated by the Department under 7 CFR Part 1c. If you 
propose to use human subjects for experimental purposes in your 
project, you should check the ``yes'' box in Block 21 of Form CSREES-
661 and complete Section C of Form CSREES-662. In the event a project 
involving human subjects results in a grant award, funds will be 
released only after the appropriate Institutional Review Board has 
approved the project.
    10. CRIS Forms AD-416 and AD-417: In order to document projects in 
the Current Research Information System's (CRIS) data base, CSREES 
requires the submission of the CRIS Forms AD-416 and AD-417 prior to 
the release of grant funds. Only one completed copy of each form must 
be submitted with the original pen-and-ink copy of the proposal. Fields 
1, 19, 20, 21, 28, 29, 30 and ``Duration'' should be left blank, as 
these will be completed by CSREES upon award. CSREES will not release 
funds for the proposed award until the completed CRIS forms are 
received; therefore, prompt action on this requirement is essential for 
the initiation of the project.
    11. Compliance with the National Environmental Policy Act (NEPA): 
As outlined in 7 CFR Part 3407 (the Cooperative State Research, 
Education, and Extension Service regulations implementing NEPA), the 
environmental data for any proposed project is to be provided to CSREES 
so that CSREES may determine whether any further action is needed. In 
some cases, however, the preparation of environmental data may not be 
required. Certain categories of actions are excluded from the 
requirements of NEPA.
    In order for CSREES to determine whether any further action is 
needed with respect to NEPA, pertinent information regarding the 
possible environmental impacts of a particular project is necessary; 
therefore, Form CSREES-1234, ``NEPA Exclusions Form,'' must be included 
in the proposal indicating whether the applicant is of the opinion that 
the project falls within a categorical exclusion and the reasons 
therefor. If it is the applicant's opinion that the proposed project 
falls within the categorical exclusions, the specific exclusion must be 
identified. Form CSREES-1234 and supporting documentation should be 
included as the last page of the proposal.
    Even though a project may fall within the categorical exclusions, 
CSREES may determine that an Environmental Assessment or an 
Environmental Impact Statement is necessary for an activity, if 
substantial controversy on environmental grounds exists or if other 
extraordinary conditions or circumstances are present which may cause 
such activity to have a significant environmental effect.

Part IV. Submission of a Proposal

A. What to Submit

    An original and 15 copies must be submitted. Each copy of each 
proposal must be stapled in the upper left-hand corner. (DO NOT BIND.) 
All copies of the proposal must be submitted in one package.

B. Where and When to Submit

    Applications for Planning Grants for FRA Centers must be received 
by close of business on March 24, 1997. Standard Project proposals must 
be received by close of business on April 28, 1997. Proposals sent by 
First Class mail must be sent to the following address:

Proposal Services Unit, Grants Management Branch, Office of Extramural 
Programs, USDA/CSREES, STOP 2245, Washington, DC 20250-2245; Telephone: 
(202) 401-5048

    Note: Hand-delivered proposals or those delivered by overnight 
express service should be brought to the following address: Proposal 
Services Unit, Grants Management Branch; Office of Extramural 
Programs; USDA/CSREES; Room 303, Aerospace Center; 901 D Street, 
S.W.; Washington, DC 20024. The telephone number is (202) 401-5048.

C. Acknowledgment of Proposals

    The receipt of all proposals will be acknowledged in writing and 
this acknowledgment will contain an

[[Page 4392]]

identifying proposal number. Once your proposal has been assigned an 
identification number, please cite that number is future 
correspondence.

Part V. Selection Process and Evaluation Criteria

A. Selection Process

    Each proposal will be evaluated in a two-part process. First, each 
proposal will be screened to ensure it meets the requirements as set 
forth in this RFP. Proposals that meet these requirements will be 
technically evaluated. Each proposal will be judged on its own merits.

B. Technical Evaluation

    The review of applications submitted for funding consideration, 
will consist of a technical evaluation conducted by CSREES using the 
competitive peer review process. Standard Project Grant applications 
will receive a technical evaluation using the following criteria:
    1. Merit: Scientific, technical, or educational merit: Well defined 
problem; clearly defined objectives; appropriateness of approach, 
(including selection of proper approach to address systems, 
multifaceted, or multidisciplinary problems); demonstrated integration 
of components (such as research, education and extension components); 
degree of feasibility; soundness and effectiveness of management plan.
    2. Quality: Creativity and innovativeness in addressing problem and 
issues; selection of most appropriate and qualified individuals to 
address problem; competence and experience of personnel; effective 
utilization of knowledge base in addressing problem; potential to 
contribute solutions to stated problem; identified potential for 
technology transfer and information dissemination.
    3. Relevance: Proposal advances purposes for Federally supported 
research, education, and extension of the 1977 National Agricultural 
Research, Extension, and Teaching Policy Act of 1977, as amended (7 
U.S.C. 3107); potential to contribute solutions to priority problems in 
agriculture; identification and involvement of stakeholders; 
involvement of communities of interest and stakeholders in the 
identification of problems set forth in proposal; partnership with 
those affected by the outcome.
    Planning grants for FRA Centers will be judged using the following 
criteria;
     Merits of the FRA Center concept
     Relevance of the future FRA Center to the purposes of The 
Fund
     Appropriateness of planning activities in assembling a 
future FRA Center application
     Competence of identified participants
Because planning grant applications will constitute a preliminary plan 
for development of a FRA Center, peer review panels will concentrate 
their evaluation on the merit and relevance of the conceptual framework 
to achieving the goals of The Fund.

C. Programmatic Relevance Review

    The National Agricultural Research, Education and Economics 
Advisory Board will review collective groups of recommended proposals 
(based on technical evaluation) to ensure the relevance of the work 
proposed for funding toward achieving the programmatic goals of the 
Fund.

Part VI. Supplementary Information

A. Access to Peer Review Information

    After final decisions have been announced, CSREES will, upon 
request, inform the project director of the reasons for its decision on 
a proposal. Copies of summary reviews, not including the identity of 
the reviewers, will be made available to respective project directors 
upon specific request.

B. Grant Awards

    1. General: Within the limit of funds available for such purpose, 
the awarding official of CSREES shall make grants to those responsible, 
eligible applicants whose proposals are judged most meritorious in the 
announced program areas under the evaluation criteria and procedures 
set forth in this request for proposals. The date specified by the 
Administrator as the effective date of the grant shall be no later than 
September 30 of the Federal fiscal year in which the project is 
approved for support and funds are appropriated for such purpose, 
unless otherwise permitted by law. It should be noted that the project 
need not be initiated on the grant effective date, but as soon 
thereafter as practicable so that project goals may be attained within 
the funded project period. All funds granted by CSREES under this 
request for proposals shall be expended solely for the purpose for 
which the funds are granted in accordance with the approved application 
and budget, these application guidelines, the terms and conditions of 
the award, the applicable Federal cost principles, and the Department's 
assistance regulations (Parts 3015, 3016, and 3019 of 7 CFR).
    2. Organizational Management Information: Specific management 
information relating to an applicant shall be submitted on a one-time 
basis prior to the award of a grant identified under these application 
guidelines if such information has not been provided previously under 
this or another program for which the sponsoring agency is responsible. 
Copies of forms recommended for use in fulfilling the requirements 
contained in this section will be provided by the sponsoring agency as 
part of the preaward process.
    3. Grant Award Document and Notice of Grant Award: The grant award 
document shall include at a minimum the following:
    a. Legal name and address of performing organization or institution 
to whom the Administrator has awarded a grant under the terms of this 
request for proposals;
    b. Title of Project;
    c. Name(s) and address(es) of project director(s) chosen to direct 
and control approved activities;
    d. Identifying grant number assigned by the Department
    e. Project period, specifying the amount of time the Department 
intends to support the project without requiring recompetition for 
funds;
    f. Total amount of Departmental financial assistance approved by 
the Administrator during the project period;
    g. Legal authority(ies) under which the grant is awarded;
    h. Approved budget plan for categorizing allocable project funds to 
accomplish the stated purpose of the grant award; and
    i. Other information or provisions deemed necessary by CSREES to 
carry out its respective granting activities or to accomplish the 
purpose of a particular grant.
    4. Notice of Grant Award: The notice of grant award, in the form of 
a letter, will be prepared and will provide pertinent instructions or 
information to the grantee that is not included in the grant award 
document.

C. Use of Funds; Changes

    1. Delegation of Fiscal Responsibility: The grantee may not in 
whole or in part delegate or transfer to another person, institution, 
or organization the responsibility for use or expenditure of grant 
funds.
    2. Changes in Project Plans:
    a. The permissible changes by the grantee, project director(s), or 
other key project personnel in the approved project grant shall be 
limited to changes in methodology, techniques, or other aspects of the 
project to expedite achievement of the project's approved goals. If the 
grantee and/or the project director(s) are uncertain as to whether a

[[Page 4393]]

change complies with this provision, the question must be referred to 
the CSREES authorized departmental officer (ADO) for a final 
determination.
    b. Changes in approved goals, or objectives, shall be requested by 
the grantee and approved in writing by the ADO prior to effecting such 
changes. In no event shall requests for such changes be approved which 
are outside the scope of the original approved project.
    c. Changes in approved project leadership or the replacement or 
reassignment of other key project personnel shall be requested by the 
grantee and approved in writing by the ADO of CSREES prior to effecting 
such changes.
    d. Transfers of actual performance of the substantive programmatic 
work in whole or in part and provisions for payment of funds, whether 
or not Federal funds are involved, shall be requested by the grantee 
and approved in writing by the Department prior to effecting such 
transfers.
    e. Changes in Project Period: The project period may be extended by 
CSREES without additional financial support, for such additional 
period(s) as the ADO determines may be necessary to complete or fulfill 
the purposes of an approved project. Any extension of time shall be 
conditioned upon prior request by the grantee and approved in writing 
by the ADO, unless prescribed otherwise in the terms and conditions of 
a grant.
    f. Changes in Approved Budget: Changes in an approved budget must 
be requested by the grantee and approved in writing by the ADO prior to 
instituting such changes if the revision will:
    (1) Involve transfers of amounts budgeted for indirect costs to 
absorb an increase in direct costs;
    (2) Involve transfers of amounts budgeted for direct costs to 
accommodate changes in indirect cost rates negotiated during a budget 
period and not approved when a grant was awarded; or
    (3) Involve transfers or expenditures of amounts requiring prior 
approval as set forth in the applicable Federal cost principles, 
Departmental regulations, or in the grant award.

D. Other Federal Statutes and Regulations that Apply

    Several other Federal statutes and regulations apply to grant 
proposals considered for review and to project grants awarded under 
this program. These include but are not limited to:
    7 CFR Part 1.1--USDA implementation of the Freedom of Information 
Act.
    7 CFR Part 1c--USDA implementation of the Federal Policy for the 
Protection of Human Subjects.
    7 CFR Part 3--USDA implementation of OMB Circular No. A-129 
regarding debt collection.
    7 CFR Part 15, subpart A--USDA implementation of Title VI of the 
Civil Rights Act of 1964, as amended.
    7 CFR Part 3015--USDA Uniform Federal Assistance Regulations, 
implementing OMB directives (i.e., Circular Nos. A-21, and A-122) and 
incorporating provisions of 31 U.S.C. 6301-6308 (formerly the Federal 
Grant and Cooperative Agreement Act of 1977, Pub. L. No. 95-224), as 
well as general policy requirements applicable to recipients of 
Departmental financial assistance.
    7 CFR Part 3017, as amended by 61 Federal Register 250, January 4, 
1996--USDA implementation of Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free 
Workplace (Grants).
    7 CFR Part 3018--USDA implementation of New Restrictions on 
Lobbying. Imposes prohibitions and requirements for disclosure and 
certification related to lobbying on recipients of Federal contracts, 
grants, cooperative agreements, and loans.
    7 CFR Part 3019--USDA implementation of OMB Circular A-110, Uniform 
Administrative Requirements for Grants and Agreements With Institutions 
of Higher Education, Hospitals, and Other Nonprofit Organizations.
    7 CFR Part 3051--USDA implementation of OMB Circular No. A-133 
regarding audits of institutions of higher education and other 
nonprofit institutions.
    7 CFR Part 3407--CSREES procedures to implement the National 
Environmental Policy Act of 1969, as amended.
    48 CFR Part 31--Contract Cost Principles and Procedures of the 
Federal Acquisition Regulation.
    29 U.S.C. 794 (section 504, Rehabilitation Act of 1973) and 7 CFR 
Part 15b (USDA implementation of statute)--prohibiting discrimination 
based upon physical or mental handicap in Federally assisted programs.
    35 U.S.C. 200 et seq.--Bayh-Dole Act, controlling allocation of 
rights to inventions made by employees of small business firms and 
domestic nonprofit organizations, including universities, in Federally 
assisted programs (implementing regulations are contained in 37 CFR 
part 401).

E. Confidential Aspects of Proposals and Awards

    When a proposal results in a grant, it becomes a part of the record 
of the Agency's transactions, available to the public upon specific 
request. Information that the Secretary determines to be of a 
privileged nature will be held in confidence to the extent permitted by 
law. Therefore, any information that the applicant wishes to have 
considered as privileged should be clearly marked as such and sent in a 
separate statement, two copies of which should accompany the proposal. 
The original copy of a proposal that does not result in a grant will be 
retained by the Agency for a period of one year. Other copies will be 
destroyed. Such a proposal will be released only with the consent of 
the applicant or to the extent required by law. A proposal may be 
withdrawn at any time prior to the final action thereon.

    Done at Washington, D.C., this 24th day of January, 1997.
B.H. Robinson,
Administrator, Cooperative State Research, Education, and Extension 
Service.
[FR Doc. 97-2273 Filed 1-28-97; 8:45 am]
BILLING CODE 3410-22-M