[Federal Register Volume 62, Number 58 (Wednesday, March 26, 1997)]
[Notices]
[Pages 14536-14565]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-7520]



[[Page 14535]]

_______________________________________________________________________

Part II





Department of Health and Human Services





_______________________________________________________________________



Administration for Children and Families



_______________________________________________________________________



Request for Applications Under the Office of Community Services' Fiscal 
Year 1997 Discretionary Grants Program; Notice

  Federal Register / Vol. 62, No. 58 / Wednesday, March 26, 1997 / 
Notices  

[[Page 14536]]



DEPARTMENT OF HEALTH AND HUMAN SERVICES

Administration for Children and Families
[Program Announcement No. OCS-97-01]


Request for Applications Under the Office of Community Services' 
Fiscal Year 1997 Discretionary Grants Program

AGENCY: Office of Community Services, ACF, DHHS.

ACTION: Request for applications under the Office of Community 
Services' Discretionary Grants Program.

-----------------------------------------------------------------------

SUMMARY: The Administration for Children and Families, Office of 
Community Services (OCS) announces that competing applications will be 
accepted for new grants pursuant to the Secretary's discretionary 
authority under sections 681(a) and (b) of the Community Services Block 
Grant Act of 1981, as amended. This Program Announcement consists of 
nine parts:
    Part A covers information on legislative authorities and defines 
terms used in the Program Announcement;
    Part B provides details on application prerequisites, funds 
available in each priority area, limitations on grant amounts, project 
periods, who should benefit from the programs, and other application 
requirements;
    Part C lists the two program priority areas under which grants will 
be made, describes the types of projects that will be considered for 
funding under each priority area, and defines which organizations are 
eligible to apply;
    Part D provides the criteria for review and evaluation of each 
application to program elements of the program priority area;
    Part E describes the application procedures, including the 
availability of forms, where and how to submit an application, the 
criteria used in screening and compliance with Federal requirements 
regarding the drug-free workplace and debarment requirements in 
submitting the application;
    Part F describes the contents of the application package and 
receipt process;
    Part G provides instructions for completing the SF-424 following 
standard Federal guidelines as well as OCS specific requirements, and 
describes how the project narrative should be ordered and presented;
    Part H details post-award information and reporting requirements; 
and
    Part I provides for an appendices of additional applicable Federal 
Regulations in Attachments A-K.

CLOSING DATE: The closing time and date for receipt of applications is 
4:30 p.m. ( Eastern Standard Time) May 27, 1997. Applications received 
after 4:30 p.m. on that day will be classified as late. Postmarks and 
other similar documents do not establish receipt of an application. 
Detailed application submission instructions including the addresses 
where applications must be received, are found in Part E of this 
announcement.

FOR FURTHER INFORMATION CONTACT: Joseph Carroll, Office of Community 
Services, Division of Community Discretionary Programs, Administration 
for Children and Families, 370 L'Enfant Promenade, SW, Washington, D.C. 
20447, telephone (202) 401-9345 and fax (202) 401-4687.

Table of Contents

Part A--Preamble

1. Legislative Authority
2. Departmental Goals
3. Definition of Terms

Part B--Application Prerequisites

1. Eligible Applicants
2. Availability of Funds
3. Project and Budget Periods
4. Mobilization of Resources
5. Program Beneficiaries
6. Number of Projects in Application
7. Multiple Submittals
8. Sub-contracting or Delegating Projects
9. Previous Performance and Current Grants

Part C--Program Priority Areas

Part D--Criteria for Review and Evaluation of all Applications

Part E--Application Procedures

1. Availability of Forms
2. Application Submission
3. Intergovernmental Review
4. Application Consideration
5. Criteria for Screening Applicants

Part F--Contents of Application and Receipt Process

1. Contents of Application
2. Acknowledgement of Receipt

Part G--Instructions for Completing Application Package

1. SF-424 ``Application for Federal Assistance''
2. SF-424A ``Budget Information--Non-Construction Programs''
3. SF-424B ``Assurances--Non-Construction''
4. Restrictions on Lobbying Activities
5. Disclosure of Lobbying Activities, SF-LLL
6. Certification Regarding Environmental Tobacco Smoke
7. Project Abstract
8. Project Narrative

Part H--Post Award Information and Reporting Requirements of Community 
Services' Discretionary Grants Program

Part I--Appendices

1. Attachments A-K

Part A--Preamble

1. Legislative Authority

    Section 681(a) and 681(b)(2) of the Community Services Block Grant 
Act, as amended, authorizes the Secretary to make funds available to 
support program activities of national or regional significance to 
alleviate the causes of poverty in distressed communities with special 
emphasis on community and economic development activities.

2. Departmental Goals

    This announcement is particularly relevant to the Departmental goal 
of strengthening the American family and promoting self-sufficiency. 
These programs have objectives of increasing the access of low-income 
people to employment and business development opportunities, and 
improving the integration, coordination, and continuity of the various 
HHS (and other Federal Departments') funded services potentially 
available to families living in poverty.

3. Definition of Terms

    For purposes of this Program Announcement the following definitions 
apply:

--Budget Period: The interval of time into which a grant period of 
assistance is divided for budgetary and funding purposes.
--Cash Contributions: The cash outlay which includes the money 
contributed to the project or program by the recipient and third 
parties.
--Community Development Corporation: A private, nonprofit entity, 
governed by a board consisting of residents of the community and 
business and civic leaders, which has as a principal purpose planning, 
developing, or managing low-income housing or community development 
projects.
--Community Economic Development (CED): An economic process by which a 
community uses its resources to attract capital and increase business 
development and job opportunities for its residents. CED enhances the 
quality of the economic and physical environment of the community.
--Construction Projects: For the purpose of this announcement, 
construction projects involve land improvements and development or 
major renovation of (new or existing) facilities and

[[Page 14537]]

buildings, including their improvements, fixtures and permanent 
attachments.
--Displaced Worker: An individual who is in the labor market but has 
been unemployed for six months or longer.
--Distressed Community: A geographic urban neighborhood or rural 
community of high unemployment and pervasive poverty.
--Eligible Applicant: (See appropriate Priority Area under Part C.)
--Employment Education and Training Program: A program that provides 
education and/or training to welfare recipients, at-risk youth, public 
housing tenants, displaced workers, homeless and low-income individuals 
and that has demonstrated organizational experience in education and 
training for these populations (TANF, JTPA, etc).
--Empowerment Zones and Enterprise Communities: Those communities 
designated as such by the Secretaries of Agriculture or Housing and 
Urban Development.
--Equity Investment: The provision of capital to an organization for 
use as working capital or for some other specified purpose in return 
for a portion of ownership.
--Indian Tribe: A tribe, band, or other organized group of Indians 
recognized in the State in which it resides or which is considered by 
the Secretary of the Interior to be an Indian tribe or an Indian 
organization for any purpose. For the purpose of Priority Area 1.0 
(Urban and Rural Community Economic Development) an Indian tribe or 
Indian organization is ineligible unless the applicant organization is 
a private non-profit community economic development corporation.
--Job Creation: New jobs that are realized as a result of the OCS 
funded project which includes development of either new or expanding 
business, service, physical and commercial activities. The jobs created 
must not have been in existence prior to the start of the project. 
Note: Job creation is to be distinguished from job placement services.
--Job Placement: Placing a person in an existing vacant job of a 
business, service, or commercial activity not related to new 
development or expansion activity.
--Job Retention: Jobs that are saved as a result of the OCS grant. (For 
example, saving a business that may be headed towards bankruptcy or 
stopping a business that may be relocating which would cause the loss 
of low-income jobs).
--Letter of Commitment: A signed, written binding pledge from a grantor 
or lender of funds for a specified purpose which sets forth terms and 
conditions only subject to receiving an award of OCS Grant Funds.
--Loan: Money lent to a borrower under a binding pledge for a given 
purpose to be repaid, usually at a stated rate of interest and within a 
specified period of time.
--Poverty Income Guidelines: The guidelines, published annually by the 
U.S. Department of Health and Human Services, which establish the level 
of poverty defined as low-income for individuals and their families.
--Program Income: Gross income earned by the recipient (during the 
project period) that is directly generated by a supported activity or 
earned as a result of the award.
--Project Period: The total time for which a project is approved for 
OCS support, including any approved extensions.
--Revolving Loan Fund: A capital fund established to make loans whereby 
principal repayments of loans are re-paid into the fund and re-lent to 
other borrowers.
--Self-employment: The state of an individual or individuals who engage 
in self-directed economic activities.
--Self-sufficiency: The economic state not requiring public assistance 
for an individual and his (her) immediate family.
--Technical Assistance: A problem-solving event generally utilizing the 
services of an expert. Such services may be provided on-site, by 
telephone, or by other communications. These services address specific 
problems and are intended to assist with the immediate resolution of a 
given problem or set of problems.
--Temporary Assistance to Needy Families (TANF): Title I of the 
Personal Responsibility and Work Opportunity Reconciliation Act of 1996 
(P.L. 104-193) creates the TANF program which transforms welfare into a 
system that requires work in exchange for time-limited assistance. The 
law specifically eliminates any individual entitlement to or guarantee 
of assistance, repeals the Aid to Families with Dependent Children 
(AFDC) program, Emergency Assistance (EA) and Job Opportunities and 
Basic Skills Training (JOBS) programs, and replaces them with a Block 
grant entitlement to States under Title IV of the Social Security Act.
--Third Party In-kind Contributions: The value of non-cash 
contributions provided by non-federal third parties which may be in the 
form of real property, equipment, supplies and other expendable 
property, and the value of goods and services directly benefitting and 
specifically identifiable to the project or program.

Part B--Application Prerequisites

1. Eligible Applicants

    Priority areas included in this Program Announcement have differing 
eligibility requirements. Therefore, eligible applicants are identified 
in the individual priority area descriptions found in Part C.

2. Availability of Funds

    a. All grant awards are subject to the availability of appropriated 
funds. Approximately $25,332,000 is available for FY 1997. The 
approximate amount of funds anticipated to be available for each 
Priority Area is summarized below:

------------------------------------------------------------------------
                                                            Fiscal year 
                      Priority area                         1997 funds  
------------------------------------------------------------------------
Priority Area 1.0  Urban and Rural Community Economic                   
 Development:                                                           
    1.1  Urban and Rural Community Economic Development                 
     (Operational)......................................     $15,772,000
    1.2  Urban and Rural Community Economic Development                 
     (HBCU Set-Aside)...................................       2,100,000
    1.3  Urban and Rural Community Economic Development                 
     (Pre-Developmental Set-Aside)......................         750,000
    1.4  Urban and Rural Community Economic Development                 
     (Developmental Set-Aside)..........................       2,500,000
    1.5  Administrative and Management Expertise (Set                   
     Aside).............................................         500,000
    1.6  Training & Technical Assistance (Set Aside)....         210,000
Priority Area 2.0 Rural Community Development                           
 Activities:                                                            
    2.1 Rural Community Facilities Development (Water                   
     and Waste Water Treatment Systems Development).....       3,500,000
------------------------------------------------------------------------


[[Page 14538]]

    b. Grant Amounts. The approximate amounts to be granted for 
projects under the Priority Areas are indicated below:

----------------------------------------------------------------------------------------------------------------
             Sub-priority area                                          Funding limit                           
----------------------------------------------------------------------------------------------------------------
1.1........................................  Approximately 10 at $700,000.                                      
                                             Approximately 20 at $350,000.                                      
1.2........................................  Approximately 6 at $350,000.                                       
1.3........................................  Approximately 10 at $75,000.                                       
1.4........................................  Approximately 10 at $250,000.                                      
1.5........................................  Approximately 1 at $500,000.                                       
1.6........................................  Approximately 1 at $210,000.                                       
2.1........................................  Approximately 8 from $300,000-$533,000.                            
----------------------------------------------------------------------------------------------------------------

3. Project and Budget Periods

    For Sub-Priority Areas 1.1, 1.2, and 1.4, applicants with projects 
involving construction only, may request project and budget periods of 
up to 36 months. Applicants for non-construction projects under these 
priority areas may request projects and budget periods of up to 17 
months. Sub-Priority Areas 1.5, and 1.6 may request project and budget 
periods of up to 17 months. For Sub-Priority Area 2.1, grantees will be 
funded for a 12 month project period. For Sub-Priority Area 1.3, 
applicants may request project and budget periods of up to 12 months.

4. Mobilization of Resources

    OCS encourages and strongly supports leveraging of resources 
through public/private partnerships which can mobilize cash and/or 
third-party in-kind contributions.

5. Program Beneficiaries

    Projects proposed for funding under this Announcement must result 
in direct benefits to low-income people as defined in the most recent 
Annual Revision of Poverty Income Guidelines published by DHHS.
    Attachment A of the appendices to this Announcement is an excerpt 
from the Poverty Income Guidelines currently in effect. Annual 
revisions of these guidelines are normally published in the Federal 
Register in February or early March of each year. Grantees will be 
required to apply the most recent guidelines throughout the project 
period. These revised guidelines may be obtained at public libraries, 
Congressional offices, or by writing the Superintendent of Documents, 
U.S. Government Printing Office (GPO), Washington, D.C. 20402. Also, 
see ``For Further Information Contact'' at the beginning of this 
Announcement.
    No other government agency or privately-defined poverty guidelines 
are applicable for the determination of low-income eligibility for 
these OCS programs.
    Note, however, that low-income individuals granted lawful temporary 
resident status under Sections 245A or 210A of the Immigration and 
Nationality Act, as amended by the Immigration Reform and Control Act 
of 1986 (Public law 99-603) may not be eligible for direct or indirect 
assistance based on financial need under this program for a period of 
five years from the date such status was granted.

6. Number of Projects in Application

    An application may contain only one project except for Sub-Priority 
Areas 1.3, 1.5, and 1.6 where applicants are researching various 
opportunities, are sharing administrative and management expertise with 
current OCS grantees, or are providing training and/or technical 
assistance for current OCS grantees, including the organization of 
seminars and other activities in assisting Community Development 
Corporations. Applications which are not in compliance with this 
requirement will be ineligible for funding.

7. Multiple Submittals

    There is no limit to the number of applications that can be 
submitted under a specific program priority area as long as each 
application contains a proposal for a different project. However, an 
applicant can receive only one grant in each Priority Area. Also 
applicants that receive more than one grant for a common budget/project 
periods must be mindful that salaries and wages claimed for the same 
persons cannot collectively exceed 100% of total annual salary.

8. Sub-contracting or Delegating Projects

    OCS does not fund projects where the role of the applicant is 
primarily to serve as a conduit for funds to organizations other than 
the applicant. The applicant must have a substantive role in the 
implementation of the project for which funding is requested.

9. Previous Performance and Current Grants

    Previous performance of applicants will be considered an important 
determining factor in the grant award decisions. Any applicant which 
has three or more active OCS grants may only be funded under 
exceptional circumstances.

Part C--Program Priority Areas

    The program priority areas of the Office of Community Services' 
Discretionary Grants Program are as follows:
Priority Area 1.0  Urban and Rural Community Economic Development
Sub-Priority Areas under 1.0
    1.1 Urban and Rural Community Economic Development (Operational).
    1.2 Urban and Rural Community Economic Development (HBCU Set-
Aside).
    1.3 Urban and Rural Community Economic Development (Pre-
Developmental Set-Aside).
    1.4 Urban and Rural Community Economic Development (Developmental 
Set-Aside).
    1.5 Administrative and Management Expertise (Set-Aside)
    1.6 Training and Technical Assistance (Set-Aside)
Priority Area 2.0  Rural Community Development Activities
Sub-Priority Area under 2.1
    Rural Community Facilities Development (Water and Waste Water 
Treatment Systems Development).
Priority Area 1.0  Urban and Rural Community Economic Development
    Eligible applicants are private, non-profit community development 
corporations (CDCs) governed by a board consisting of residents of the 
community and business and civic leaders which have as a principal 
purpose planning, developing, or

[[Page 14539]]

managing low-income housing or community development projects.
    The purpose of this priority area is to encourage the creation of 
projects intended to provide employment and business development 
opportunities for low-income people through business, physical or 
commercial development. Generally the opportunities must aim to improve 
the quality of the economic and social environment of AFDC/TANF 
recipients; low-income residents including displaced workers; at-risk 
teenagers; noncustodial parents, particularly those of children 
receiving AFDC/TANF assistance; individuals residing in public housing; 
individuals who are homeless; and those with developmental 
disabilities. It is intended to provide resources to eligible 
applicants (CDCs) but also has the broader objectives of arresting 
tendencies toward dependency, chronic unemployment, and community 
deterioration in urban and rural areas. Sub-Priority Area 1.5 is 
intended to provide administrative and management expertise to current 
Office of Community Services' grantees who are experiencing problems in 
the implementation of urban and rural community economic development 
projects. Sub-Priority Area 1.6 is intended to provide training and 
technical assistance to groups of community development corporations in 
developing or implementing projects funded under this section and to 
generally enhance the viability and competence of community development 
corporations.
    This program also seeks to attract additional private capital into 
distressed communities, including empowerment zones and enterprise 
communities, and to build and/or expand the ability of local 
institutions to better serve the economic needs of local residents.
Sub-Priority Area 1.1 Urban and Rural Community Economic Development 
(Operational)
    Funds will be provided to a limited number of private non-profit 
community development corporations for business development activities 
at the local level. Funding will be provided for specific projects and 
will require the submission of work plans and/or business plans that 
meet the test of economic feasibility.
    For Fiscal Year 1997, it is anticipated that approximately twenty 
(20) grants up to a maximum of $350,000 will be awarded and 
approximately ten (10) grants over $350,000 but up to $700,000 will be 
made. Competition for these funds will be restricted to either the 
$350,000 and under or over $350,000 but up to $700,000 categories. Each 
category of funds will compete only among themselves.
    Projects must further the Departmental goals of strengthening 
American families and promoting their self-sufficiency. OCS is 
particularly interested in receiving applications that stress public-
private partnerships that are directed toward the development of 
economic self-sufficiency in distressed communities through projects 
that focus on providing employment and business development 
opportunities for low-income people through business, service, physical 
and commercial development.
    Applicants located in empowerment zones and enterprise communities 
are urged to submit applications. Likewise, applicants are encouraged 
to foster partnerships with child support enforcement agencies to 
increase the capability of low-income noncustodial parents, 
particularly those of children receiving AFDC/TANF assistance, to 
fulfill their parental responsibilities. Such applicants may request 
funds for a business development project or a project that demonstrates 
innovative ways to create jobs for low income persons in the targeted 
group or community.
    Applications must show that the proposed project:
    (1) Creates full-time permanent jobs except where an applicant 
demonstrates that a permanent part-time job produces actual wages that 
exceed the HHS poverty guidelines. Seventy-five percent (75%) of those 
jobs created must be filled by low-income residents of the community 
and must also provide for career development opportunities. Project 
emphasis should be on employment of individuals who are unemployed or 
on public assistance, with particular emphasis on those that are at-
risk teenagers; AFDC/TANF recipients; low-income noncustodial parents, 
particularly those of children receiving AFDC/TANF assistance; 
individuals residing in public housing; and individuals who are 
homeless. While projected employment in future years may be included in 
the application, it is essential that the focus of employment projects 
concentrate on those jobs created during the duration of the OCS 
project period; and/or
    (2) Creates a significant number of business development 
opportunities for low-income residents of the community or 
significantly aids such residents in maintaining economically viable 
businesses; and
    (3) Provides for establishing the self-sufficiency of program 
participants.
    In the evaluation process, favorable consideration will be given to 
applicants under this priority area who show the lowest cost-per-job 
created. Unless there are extenuating circumstances, OCS will not fund 
projects where the cost-per-job in OCS funds exceeds $15,000.
    In addition, favorable consideration in the evaluation process will 
be given to applicants who demonstrate their intention to coordinate 
services with the local AFDC/TANF offices and/or other employment 
education and training offices and child support enforcement agencies 
that serve the proposed area. The offices and agencies should serve 
welfare recipients, at-risk youth, public housing tenants, displaced 
workers, homeless and low-income individuals (as defined by the Annual 
Revision to Poverty Income Guidelines published by DHHS) including 
noncustodial parents. Applicants should submit a written agreement from 
the applicable office or agency that indicates what actions will be 
taken to integrate/coordinate services that relate directly to the 
project for which funds are being requested. The agreement should 
include the goals and objectives (including target groups) that the 
applicant and the employment education and training office and child 
support enforcement agency expect to reach through their collaboration. 
It should describe the cooperative relationship, including specific 
activities and/or actions each of these entities proposes to carry out 
in support of the project, and the mechanism(s) to be used in 
coordinating those activities if the project is funded by OCS. 
Documentation that illustrates the organizational experience of the 
employment education and training office should also be included.
    Any applicant which proposes to use the requested OCS funds to make 
an equity investment such as the purchase of stock, or a loan to a 
business concern, including a wholly-owned subsidiary, or to make a 
sub-grant with a portion of the OCS funds, in addition to submission of 
a business plan, must include the terms of the proposed transaction. 
For example, regarding a stock purchase, the cost per share, number of 
shares and percentage of ownership is needed. Also the application must 
include a written agreement with the third party that commits the 
latter to the following:
    1. A minimum of 75% of the jobs to be created under the grant will 
be for low-income individuals.
    2. The grantee will have authority to screen applicants for jobs to 
be filled by

[[Page 14540]]

low-income individuals and to verify their eligibility.
    3. The grantee will have a seat on the Board of Directors of the 
third party's firm if the grantee's investment equals 25% or more of 
the firm's assets. (Not applicable to loans made to third parties.)
    4. Reports will be made on a regular basis to the grantee on the 
use of grant funds.
    5. A procedure will be developed to assure that there are no 
duplicate counts of jobs created.
    6. Detailed information will be provided on how the grant funds 
will be used by the third party by submitting a Source and Use of Funds 
Statement. In addition, the agreement will provide details on how the 
community development corporation will provide support and technical 
assistance to the third-party in areas of recruitment and retention of 
low-income individuals.
    OCS encourages applications that will develop linkages or 
agreements with local agencies responsible for administering AFDC/TANF 
programs and child support enforcement agreements. OCS would expect 
these programs to create new jobs for AFDC/TANF recipients; and low-
income noncustodial parents, particularly those of children receiving 
AFDC/TANF assistance. These initiatives can be accomplished through a 
variety of business development projects funded under this priority 
area, i.e., business expansions, new business development and self-
employment activities, etc.
    OCS does not fund education and training programs. In projects 
where participants must be trained, any funds that are proposed to be 
used for training purposes must be limited to providing specific job-
related training to those individuals who have been selected for 
employment in the grant supported project which includes development of 
either new or expanding business, service, physical and commercial 
activities.
    Projects involving training and placement for existing vacant 
positions will be disqualified.
    Projects which would result in the relocation of a business from 
one geographic area to another with the possible displacement of 
employees are discouraged.
    OCS will not consider applications that propose to establish or 
expand revolving loan funds nor proposals that are geared towards the 
establishment of Small Business Investment Corporations or Minority 
Enterprise Small Business Investment Corporations.
    OCS does not anticipate approving the funding of applications which 
propose to sub-grant all or most of the grant activities to an 
unrelated entity.
    Applicants must be aware that projects funded under this priority 
area must be operational by the end of the project period, i.e., 
businesses must be in place, and low-income individuals actually 
employed in those businesses.
    See Part G 8 for special instructions on developing a program 
narrative for this priority area.
Sub-Priority Area 1.2  Urban and Rural Community Economic Development 
(HBCU Set-Aside)
    For Fiscal Year 1997, it is anticipated that a set-aside fund of 
$2,100,000 will be included under this priority area for eligible 
applicants that submit projects that will be carried out in conjunction 
with Historically Black Colleges and Universities (HBCU), as defined in 
Executive Order Number 12677, dated April 28, 1989, through contract or 
sub-grant. Such projects must conform to the purposes, requirements and 
prohibitions applicable to those submitted under Sub-Priority Area 1.1.
    These projects should reflect a significant partnership role for 
the college or university, and the applicant in doing so will be 
considered to have fulfilled the goals of the evaluation criterion for 
Public-Private Partnerships and will be granted the maximum number of 
points in that category. Applications for these set-aside funds which 
are not funded due to the limited amount of funds available will also 
be considered competitively within the larger pool of eligible 
applicants under Sub-Priority Area 1.1.
    Any funds that are not used under this sub-priority area due to the 
limited number of highly scored applications will be rolled over into 
Sub-Priority Area 1.1.
    Any funds that are proposed to be used for training purposes must 
be limited to providing specific job related training to those 
individuals who have been selected for employment in the grant 
supported project which includes development of either new or expanding 
business, service, physical and commercial activities.
    See Part G 8 for special instructions on developing a work program 
for this priority area.
Sub-Priority Area 1.3  Urban and Rural Community Economic Development 
(Pre-Developmental Set-Aside)
    OCS intends in this Sub-priority area to provide funds to recently-
established private, non-profit community development corporations 
which propose to undertake economic development activities in 
distressed communities.
    OCS recognizes that there are a number of newly-organized non-
profit community development corporations which have identified needs 
in their communities but have not had the staff or other resources to 
develop projects to address those needs. This lack of resources also 
might be affecting their ability to compete for funds, such as those 
provided under Sub-priority area 1.1 (Operational Grants), since their 
limited resources would preclude them from developing a comprehensive 
business plan and/or mobilizing resources. OCS has an interest in 
providing support to these new entities in order to enable them to 
become more firmly established in their communities, thereby bringing 
technical expertise and new resources to these previously unserved or 
underserved communities. Therefore, OCS is setting aside funds in 
Fiscal Year 1997 for grants to private, non-profit community 
development corporations that have never received OCS funding; have 
been in existence for no more than three years or have been in 
existence longer than three years but have no record of participation 
in economic development type projects. For the latter, a CDC must state 
that it has not been active. Also, for this sub-priority area only, the 
phrase ``no participation in economic development type projects'' means 
an eligible applicant has not sponsored nor had any significant 
participation in projects that have provided employment or business 
development opportunities through business, service, physical and 
commercial activities. In addition, applicants with housing experience 
must not have significant participation in planning, developing and 
managing housing with an aggregate cost or investment value of $1 
million or more. We anticipate that grants of up to $75,000 each will 
be made to eligible applicants. These grants will be made for a period 
of one year and will not require leveraged or mobilized funds.
    These grants will be pre-developmental grants under which CDCs may 
incur costs to: (1) Evaluate the feasibility of potential projects 
which address identified needs in the low-income community and which 
conform to those projects and activities allowable under Sub-Priority 
Areas 1.1, 1.2, and 1.4; (2) develop a Business Plan related to one of 
those projects; and (3) mobilize resources to be contributed to one of 
those projects, including the utilization of HBCUs.
    Based on the availability of funds in Fiscal Year 1998, OCS will 
consider establishing a set-aside to provide

[[Page 14541]]

operational funds to those organizations which received pre-
developmental grants. Grants might be for a maximum of $250,000 and 
competition for those funds would be restricted to those organizations 
receiving Fiscal Years 1996 and 1997 pre-developmental grants. The 
Business Plan developed as a result of the pre-developmental grant 
would be submitted as part of the competitive application.
    Specifically, each application for Fiscal Year 1997 funded under 
this Sub-priority Area must include the following as part of the 
project narrative:
    1. Description of the impact area, i.e., a description of the low-
income area it proposes to address;
    2. Analysis of need in the distressed community;
    3. How the potential projects relate to applicant's organizational 
goals and previous experience (if any);
    4. Project design and implementation factors including a discussion 
of potential projects that might be implemented to address identified 
needs, a strategy for conduct of feasibility studies on potential 
projects and quarterly work plans with specific task timelines and a 
self-evaluation component; and
    5. Project objectives and measurable impact, i.e., a discussion of 
preparing a business plan on only one selected project based on results 
of the feasibility studies and plan for mobilization of 
nondiscretionary dollars to implement it.
    Applications for these set-aside funds which are not funded due to 
the limited amount of funds available may also be considered 
competitively within the larger pool of eligible applicants under Sub-
Priority Area 1.1.
Sub-Priority Area 1.4  Urban and Rural Community Economic Development 
(Developmental Set-Aside)
    OCS intends in this Sub-priority area to provide funds to 
organizations which received grants from OCS in Fiscal Years 1995 and 
1996 under the Pre-Developmental grant program. These organizations 
will compete only among themselves. Such projects must conform to the 
purposes, requirements and prohibitions applicable to those submitted 
under Priority Area 1.1. Applications which are not funded within this 
set-aside due to the limited amount of funds available will also be 
considered competitively within the larger pool of eligible applicants 
under Sub-Priority Area 1.1.
Sub-Priority Area 1.5  Administrative and Management Expertise (Set-
Aside)
    OCS believes that one of the most effective means of assuring the 
successful operation of a project under the Discretionary Grants 
Program area is through the sharing amongst CDCs of their experiences 
in dealing with the day-to-day issues and challenges presented in 
promoting community economic development. Accordingly, OCS strongly 
encourages more experienced CDCs to share their administrative and 
management expertise with less experienced CDCs or with those who have 
encountered difficulties in operationalizing their work programs. In 
order to facilitate this, OCS will provide funds to one or more 
community development corporations to assist with their efforts to 
enhance the management and operational capacities of the less 
experienced CDCs or those having difficulties.
    We anticipate that the grant(s) would be for a maximum of $500,000 
with a project period not to exceed 17 months. OCS will share with the 
grantee(s) information on other grantees seeking to benefit from such 
assistance. Such formal requests could also be initiated by a grantee 
with the concurrence of OCS. These contacts may occur on-site, by 
telephone, or by other methods of communication. Costs incurred in 
connection with participating in such activities will be borne by the 
recipient(s) of the OCS grant under this sub-priority area.
Sub-Priority Area 1.6  Training and Technical Assistance (Set-Aside)
    Funds will be awarded to one organization under this priority area 
for the purpose of providing training and technical assistance to 
strengthen the network of CDCs.
    We anticipate that the grant will be for $210,000 with a grant 
period not to exceed 17 months. Applicant must have the ability to 
collect and analyze data nationally that may benefit CDCs and be able 
to disseminate information to all of OCS funded grantees; publish a 
national directory of funding sources for CDCs (public, corporate, 
foundation, religious); publish research papers on specific aspects of 
job creation by CDCs; design and provide information on successful 
projects and economic niches that CDCs can target. The applicant will 
also be responsible for the development of instructional programs, 
national conferences, seminars, and other activities to assist 
community development corporations.
    Eligible applicants are private non-profit organizations. 
Applicants must operate on a national basis and have significant and 
relevant experiences in working with community development 
corporations.
Priority Area 2.0  Rural Community Development Activities
Sub-Priority Area 2.1  Rural Community Facilities Development (Water 
and Waste Water Treatment Systems Development)
    Funds will be provided under this sub-priority area to help low-
income rural communities develop the capability and expertise to 
establish and/or maintain affordable, adequate and safe water and waste 
water treatment facilities.
    Funds provided under this Sub-priority area may not be used for 
construction of water and waste water treatment systems or for 
operating subsidies for such systems, but other mobilized funds may be 
used for these activities. Therefore, it is suggested that applicants 
coordinate projects with the Farmers Home Administration (FmHA) and 
other Federal and State agencies to ensure that funds for hardware for 
local community projects are available.
    Eligible applicants are multi-state, regional private non-profit 
organizations that can provide training and technical assistance to 
small, rural communities in meeting their community facility needs.
    See Part G 8 for special instructions on developing a program 
narrative for this priority area.

Part D--Criteria for Review and Evaluation of all Applications

1. Criteria for Review and Evaluation of All Applications Submitted 
Under Sub-Priority Areas 1.1, 1.2, and 1.4

    (a) Criterion I: Analysis of Need (Maximum: 5 points) The 
application documents that the project addresses a vital need in a 
distressed community. (0-3 points)
    Most recent available statistics and other information are provided 
in support of its contention. (0-2 points)
    (b) Criterion II: Organizational Experience in Program Area and 
Staff Responsibilities (Maximum: 25 points)
    (i) Organizational Experience in Program Area (sub-rating: 0-15 
points).
    Documentation provided indicates that projects previously 
undertaken have been relevant and effective and have provided permanent 
benefits to the low-income population. (0-5 points)
    The applicant has demonstrated the ability to implement major 
activities in such areas as business development,

[[Page 14542]]

commercial development, physical development, or financial services; 
the ability to mobilize dollars from sources such as the private sector 
(corporations, banks, etc.), foundations, the public sector, including 
State and local governments, or individuals; that it has a sound 
organizational structure and proven organizational capability; and an 
ability to develop and maintain a stable program in terms of business, 
physical or community development activities that will provide needed 
permanent jobs, services, business development opportunities, and other 
benefits to community residents. (0-10 points)
    (ii) Staff Skills, Resources and Responsibilities (sub-rating 0-10 
points).
    The application describes in brief resume form the experience and 
skills of the project director who is not only well qualified, but his/
her professional capabilities are relevant to the successful 
implementation of the project. If the key staff person has not yet been 
identified, the application contains a comprehensive position 
description which indicates that the responsibilities to be assigned to 
the project director are relevant to the successful implementation of 
the project. (0-5 points)
    The applicant has adequate facilities and resources (i.e. space and 
equipment) to successfully carry out the work plan. (0-2 points)
    The assigned responsibilities of the staff are appropriate to the 
tasks identified for the project and sufficient time of senior staff 
will be budgeted to assure timely implementation and cost effective 
management of the project. (0-3 points)
    (c) Criterion III: Project Implementation (Maximum: 25 points).
    The Work Plan, or Business Plan where appropriate, is both sound 
and feasible. Briefly the plan should describe the key work tasks and 
show how the project objectives will be accomplished including the 
development of business and creation of jobs for low-income persons 
during the allowable OCS project period. The project is responsive to 
the needs identified in the Analysis of Need. (0-5 points)
    It sets forth realistic quarterly time targets by which the various 
work tasks will be completed. (0-5 points)
    Critical issues or potential problems that might impact negatively 
on the project are defined and the project objectives can be reasonably 
attained despite such potential problems. (0-5 points)
    The application contains a full and accurate description of the 
proposed use of the requested financial assistance. Also, if the 
project proposes the development of a new or expanding business, 
service, physical or commercial activity, the application must address 
applicable elements of a business plan which are included in the 
section on ``Instructions for Completing Application Package'' of the 
Program Announcement. Special attention should be given to assure that 
the financial plan element, which indicates the project's potential and 
timetable for financial self-sufficiency, is included. It must include 
the following exhibits for the first three years (on a quarterly basis) 
of business' operations: Profit and Loss Forecasts, Cash Flow 
Projections and Proforma Balance Sheets. Also, an initial Source and 
Use of Funds statement for all project funding must be included. (0-10 
points)
    (d) Criterion IV: Significant and Beneficial Impact (Maximum: 20 
points).
    (i) Significant and Beneficial Impact (sub-rating: Maximum: 0-5 
points).
    The proposed project will produce permanent and measurable results 
that will reduce the incidence of poverty and AFDC/TANF assistance in 
the community. (0-3 points)
    The OCS grant funds, in combination with private and/or other 
public resources, are targeted into low-income communities, distressed 
communities, and/or designated enterprise zones and enterprise 
communities. (0-2 points)
    (ii) Community Empowerment Consideration and Partnership with Child 
Support Enforcement Agency (Maximum: 0-5 points).
    Special consideration will be given to applicants who are located 
in areas which are characterized by poverty and other indicators of 
socio-economic distress such as a poverty or AFDC/TANF assistance rate 
of at least 20%, designation as an Empowerment Zone or Enterprise 
Community (EZ/EC), high levels of unemployment, high levels of 
incidences of violence, gang activity, crime, drug use and low-income 
noncustodial parents of children receiving AFDC/TANF. (0-3 points)
    Applicants should document that they were involved in the 
preparation and implementation of a comprehensive community-based 
strategic plan to achieve both economic and human development in an 
integrated manner; and how the proposed project will support the goals 
of that plan. Also applicants should document that they have entered 
into partnership agreements with local Child Support Enforcement 
agencies to increase capability of low-income parents and families to 
fulfill their parental responsibilities. (0-2 points)

    Note: Applicants that have projects located in EZ/EC target 
areas or those who have included signed current agreements with 
child support enforcement agencies will automatically receive the 
maximum 2 points.

    (iii) Cost-per-Job (sub-rating: 0-5 points).
    During the project period, the proposed project will create new, 
permanent jobs or maintain permanent jobs for low-income residents at a 
cost-per-job below $15,000 in OCS funds unless there are extenuating 
circumstances, i.e., Alaska where the cost of living is much higher.

    (Note: The maximum number of points will be given to those 
applicants proposing estimated cost-per-job for low-income residents 
of $10,000 or less of OCS requested funds. Higher cost-per-job 
estimates will receive correspondingly fewer points unless 
adequately justified by extenuating circumstances.)

    (iv) Career Development Opportunities (sub-rating: 0-5 points).
    The application documents that the jobs to be created for low-
income people have career development opportunities which will promote 
self-sufficiency.
    (e) Criterion V: Public-Private Partnerships (Maximum: 20 points).
    (i) Mobilization of resources (sub-rating: 15 points).
    The application documents that the applicant will mobilize from 
public and/or private sources cash and/or in-kind contributions valued 
at an amount equal to the OCS funds requested. Applicants documenting 
that the value of such contributions will be at least equal to the OCS 
funds requested will receive the maximum number of points for this 
subcriterion. Lesser contributions will be given consideration based 
upon the value documented.

    Note 1: Cash resources such as cash or loans contributed from 
all project sources (except for those contributed directly by the 
applicant) must be documented by letters of commitment from third 
parties making the contribution. Third party in-kind contributions 
such as equipment or real property contributed by applicant or third 
parties must be documented by an inventory for equipment and a copy 
of deed or other legal document for real property. In addition, 
future or projected program income such as gross or net profits from 
the project or business operations will not be recognized as 
mobilized or contributed resources.
    Note 2: Applicants under Sub-Priority Area 1.2 who have a 
signed, written agreement for a partnership with Historically Black 
Colleges and Universities are deemed to have fully met this 
criterion and will receive the maximum number of points if they 
include the agreement with the HBCU.


[[Page 14543]]


    (ii) Integration/coordination of services (sub-rating: 5 points).
    The applicant demonstrates a commitment to or agreements with local 
agencies responsible for administering, child support enforcement, 
employment, education and training programs (such as JTPA) to ensure 
that welfare recipients, at-risk youth, displaced workers, public 
housing tenants, homeless and low-income individuals and low-income 
noncustodial parents will be trained and placed in the newly created 
jobs. The applicant provides written agreements from the local AFDC/
TANF or other employment, education and training office, and child 
support enforcement agency indicating what actions will be taken to 
integrate/coordinate services that relate directly to the project for 
which funds are being requested. (0-2 points)
    Specifically, the agreements should include: (1) The goals and 
objectives that the applicant and (a) the AFDC/TANF or other 
employment, education and training office and/or (b) child support 
enforcement agency expect to achieve through their collaboration; (2) 
the specific activities/actions that will be taken to integrate/
coordinate services on an on-going basis; (3) the target population 
that this collaboration will serve; (4) the mechanism(s) to be used in 
integrating/coordinating activities; (5) how those activities will be 
significant in relation to the goals and objectives to be achieved 
through the collaboration; and (6) how those activities will be 
significant in relation to their impact on the success of the OCS-
funded project. (0-2 points)
    The applicant should also provide documentation that illustrates 
the organizational experience related to the employment education and 
training program (refer to Criterion II for guidelines). (0-1 point)
    (f) Criterion VI: Budget Appropriateness and Reasonableness 
(Maximum: 5 points).
    Funds requested are commensurate with the level of effort necessary 
to accomplish the goals and objectives of the project. (0-2 points)
    The application includes a detailed budget break-down for each of 
the budget categories in the SF-424A. The applicant presents a 
reasonable administrative cost. (0-2 points)
    The estimated cost to the government of the project also is 
reasonable in relation to the anticipated results. (0-1 point)

2. Criteria for Review and Evaluation of Applications Submitted Under 
Sub-Priority Area 1.3

    (a) Criterion I: Analysis of Need (Maximum: 15 points).
    The application documents that there are clearly identified needs 
in a low-income community not being effectively addressed. (0-10 
points)
    Most recent available statistics and other information are provided 
in support of its contention. (0-5 points)
    (b) Criterion II: Organizational Capability and Capacity (Maximum: 
20 Points).
    (i) Organizational experience in program area (sub-rating: 5 
Points).
    Each applicant must briefly show why their organization can 
successfully implement the project for which they are requesting funds. 
(0-3 points)
    If an applicant has a history of prior achievements in economic 
development within the past three (3) years, it should address the 
relevance and effectiveness of those projects undertaken, especially 
their cost effectiveness and the relevance and effectiveness of any 
services and the permanent benefits provided to the targeted 
population. (0-2 points)
    (ii) Management capacity (sub-rating: 5 points).
    Applicants must fully detail their ability to implement sound and 
effective management practices and if they have been recipients of 
other Federal or other governmental grants, they must also detail that 
they have consistently complied with financial and program progress 
reporting and audit requirements. (0-3 points)
    Applicants should submit any available documentation on their 
management practices and progress reporting procedures along with a 
statement by a Certified or Licensed Public Accountant as to the 
sufficiency of the applicant's financial management system to protect 
adequately any Federal funds awarded under the application submitted. 
(0-2 points)

    Note: The documentation of the applicant's management practices, 
etc., and statement from the Accountant on the financial management 
system must address the applicant organization's own internal system 
rather than an external system of an affiliate, partner or 
management support organization, etc.

    (iii) Staffing (sub-rating: 5 points).
    The application must fully describe (e.g., resumes) the experience 
and skills of key staff showing that they are not only well qualified 
but that their professional capabilities are relevant to the successful 
implementation of the project.
    (iv) Staffing responsibilities (sub-rating: 5 points).
    The application must describe how the assigned responsibilities of 
the staff are appropriate to the tasks identified for the project.
    (c) Criterion III: Project Design, Implementation and Evaluation 
(Maximum: 30 Points).
    (i) Project implementation component (sub-rating: 25 points).
    The work plan must address a clearly identified need in the low-
income community described in Criterion I. The plan must include a 
methodology to evaluate the feasibility of potential projects that 
conform to the type projects and activities allowable under Sub-
priority areas 1.1, 1.2, and 1.4 (0-10 points)
    It must set forth realistic quarterly time schedules of work tasks 
by which the objectives (including the development of a business plan 
and mobilization of resources) will be accomplished. Because quarterly 
time schedules are used by OCS as a key instrument to monitor progress, 
failure to include these time targets will seriously reduce an 
applicant's point score in this criterion. (0-10 points)
    It must define critical issues or potential problems that might 
impact negatively on the project and it must indicate how the project 
objectives will be attained notwithstanding any such potential 
problems. (0-5 points)
    (ii) Evaluation component (sub-rating: 5 points).
    All proposals should include a self-evaluation component. The 
evaluation data collection and analysis procedures should be 
specifically oriented to assess the degree to which the stated goals 
and objectives are achieved. (0-3 points)
    Qualitative and quantitative measures reflective of the scheduling 
and task delineation in (1) above should be used to the maximum extent 
possible. This component should indicate the ways in which the 
potential grantee would integrate qualitative and quantitative measures 
of accomplishment and specific data into its program progress reports 
that are required by OCS from all pre-development grantees. (0-2 
points)
    (d) Criterion IV: Significant and Beneficial Impact (Maximum: 25 
Points).
    Funding under this Sub-priority area is targeted to result in a 
Business Plan for a proposed project. The proposed project around which 
the Business Plan is developed with the use of OCS grant funds must be 
targeted into low-income communities, and/or designated empowerment 
zones or enterprise communities with the goals of

[[Page 14544]]

increasing the economic conditions and social self-sufficiency of 
residents. Also the project proposes to produce permanent and 
measurable results that will reduce the incidence of poverty and AFDC/
TANF recipients in the low-income area targeted. (0-20 points)

    Note: This Sub-priority area permits applicants to conduct 
several feasibility studies related to various potential projects. 
However on completion of the studies, one proposed project must be 
selected and a business plan prepared for the selected project.

    The activity targets mobilization of non-discretionary program 
dollars from private sector individuals, public resources, 
corporations, and foundations including the utilization of Historically 
Black Colleges and Universities, if the proposed project is 
implemented. (0-5 points)
    (e) Criterion V: Budget Appropriateness and Reasonableness 
(Maximum: 10 points).
    Funds requested are commensurate with the level of effort necessary 
to accomplish the goals and objectives of the project. The estimated 
cost to the government of the project also is reasonable in relation to 
the anticipated results. (0-5 points)
    The application includes a narrative detailed budget break-down for 
each of the budget categories in the SF 424-A. The applicant presents a 
reasonable administrative cost. (0-5 points)

3. Criteria for Review and Evaluation of Applications Submitted Under 
Sub-Priority Area 1.5

    (a) Criterion I: Organizational Experience in Program Area and 
Staff Responsibilities (Maximum: 20 points).
    (i) Organizational Experience in Program Area (sub-rating: 0-10 
points).
    Applicant has documented the capability to provide leadership in 
solving long-term and immediate problems locally and/or nationally in 
such areas as business development, commercial development, 
organizational and staff development, board training, and micro-
entrepreneurship development. (0-2 points)
    Applicant must document a capability (including access to a network 
of skilled individuals and/or organizations) in two or more of the 
following areas: Business Management, including strategic planning and 
fiscal management; Finance, including development of financial packages 
and provision of financial/accounting services; and Regulatory 
Compliance, including assistance with zoning and permit compliance. (0-
2 points)
    Further, the applicant has the demonstrated ability to mobilize 
dollars from sources such as the private sector (corporations, banks, 
foundations, etc.) and the public sector, including state and local 
governments. (0-2 points)
    Applicant also demonstrates that it has a sound organizational 
structure and proven organizational capability as well as an ability to 
develop and maintain a stable program in terms of business, physical or 
community development activities that have provided permanent jobs, 
services, business development opportunities, and other benefits to 
poverty community residents. (0-2 points)
    Applicants must indicate why they feel that their successful 
experiences would be of assistance to existing grantees which are 
experiencing difficulties in implementing their projects. (0-2 points)
    (ii) Staff Skills, Resources and Responsibilities (sub-rating 0-10 
points).
    The application describes in brief resume form the experience and 
skills of the project director who is not only well qualified, but who 
has professional capabilities relevant to the successful implementation 
of the project. If the key staff person has not yet been identified, 
the application contains a comprehensive position description which 
indicates that the responsibilities to be assigned to the project 
director are relevant to the successful implementation of the project. 
(0-5 points)
    The applicant has adequate facilities and resources (i.e. space and 
equipment) to successfully carry out the work plan. (0-3 points)
    The assigned responsibilities of the staff are appropriate to the 
tasks identified for the project and sufficient time of senior staff 
will be budgeted to assure timely implementation and cost effective 
management of the project. (0-2 points)
    (b) Criterion II: Work Program (Maximum: 30 points).
    Based upon the applicant's knowledge and experience related to 
OCS's Discretionary Grants Program (particularly community economic 
development), the application should demonstrate in some specificity a 
thorough understanding of the problems a grantee may encounter in 
implementing a successful project. (0-15 points)
    The application should include a strategy for assessing the 
specific nature of the problems, outlining a course of action and 
identifying the resources required to resolve the problems. (0-15 
points)
    (c) Criterion III: Significant and Beneficial Impact (Maximum: 30 
points).
    Project funds under this sub-priority area must be used for the 
purposes of transferring expertise directly, or by a contract with a 
third party, to other OCS funded grantees. Applicants must document how 
the success or failure of collaboration with these grantees will be 
documented. (0-15 points)
    Applicants must demonstrate an ability to disseminate results on 
the kinds of programmatic and administrative expertise transfer efforts 
in which they participated and successful strategies that they may have 
developed to share expertise with grantees during the grant period. (0-
10 points)
    Applicants must also state whether the results of the project will 
be included in a handbook, a progress paper, an evaluation report or a 
general manual and why the particular methodology chosen would be most 
effective. (0-5 points)
    (d) Criterion IV: Public-Private Partnerships (15 Points).
    The applicant demonstrates that it has worked with local, regional, 
state or national offices to ensure that AFDC/TANF recipients, at-risk 
youth, displaced workers, public housing tenants, low-income 
noncustodial parents, homeless and otherwise low-income individuals 
have been trained and placed in newly created jobs. (0-10 points)
    Applicant should demonstrate how it will design a comprehensive 
strategy which makes use of other available resources to resolve 
typical and recurrent grantee problems. (0-5 points)
    (e) Criterion V: Budget Appropriateness and Reasonableness 
(Maximum: 5 points).
    Applicant documents that the funds requested are commensurate with 
the level of effort necessary to accomplish the goals and objectives of 
the project. The application includes a narrative detailed budget 
break-down for each of the appropriate budget categories in the SF-
424A. (0-3 points).
    The estimated cost to the government of the project also is 
reasonable in relation to the anticipated results. (0-2 points)

4. Criteria for Review and Evaluation of Applications Submitted Under 
Sub-Priority Area 1.6

    (a) Criterion I: Need for Assistance (Maximum: 10 points).
    The application documents that the project addresses a vital 
nationwide need related to the purposes of Priority

[[Page 14545]]

Area 1.0 and provides data and information in support of its 
contention.
    (b) Criterion II: Organizational Experience in Program Area and 
Staff Responsibilities (Maximum: 20 points).
    (i) Organizational Experience.
    Applicant has documented the capability to provide leadership in 
solving long-term and immediate problems locally and/or nationally in 
such areas as business development, commercial development, 
organizational and staff development, board training, and micro-
entrepreneurship development. Applicant must document a capability 
(including access to a network of skilled individuals and/or 
organizations) in two or more of the following areas: Business 
Management, including strategic planning and fiscal management; 
Finance, including development of financial packages and provision of 
financial/accounting services; and Regulatory Compliance, including 
assistance with zoning and permit compliance. (0-10 points)
    (ii) Staff Skills.
    The applicants's proposed project director and primary staff are 
well qualified and their professional experiences are relevant to the 
successful implementation of the proposed project. (0-10 points)
    (c) Criterion III: Work Plan (Maximum 35 points).
    Based upon the applicant's knowledge and experience related to 
OCS's Discretionary Grants Program (particularly community economic 
development), the applicant must develop and submit a detailed and 
specific work plan that is both sound and feasible. Specifically, the 
work plan should include the following elements:
    (i) Demonstrate that all activities are comprehensive and 
nationwide in scope, and adequately described and appropriately related 
to the goals of the program.(0-10 points)
    (ii) Demonstrate in some specificity a thorough understanding of 
the kinds of training and technical assistance that can be provided to 
the network of Community Development Corporations. (0-10 points)
    (iii) Delineate the tasks and sub-tasks involved in the areas 
necessary to carry out the responsibilities to include training, 
technical assistance, research, outreach, seminars, etc. (0-5 points)
    (iv) State the intermediate and end products to be developed by 
task and sub-task.(0-5 points)
    (v) Provide realistic time frames and chronology of key activities 
for the goals and objectives. (0-5 points)
    (d) Criterion IV: Significant and Beneficial Impact (Maximum: 25 
points).
    Project funds under this sub-priority area must be used for the 
purpose of providing training and technical assistance on a national 
basis to the network of Community Development Corporations.
    Applicant must document how the success or failure of the 
assistance provided will be documented.
    (i) Application should adequately describe how the project will 
assure long-term program and management improvements for Community 
Development Corporations; (0-10 points)
    (ii) The project will impact on a significant number of Community 
Development Corporations; (0-10 points)
    (iii) Applicant should document how the project will leverage or 
mobilize significant other non-federal resources for the direct benefit 
of the project; (0-5 points)
    (e) Criteria V: Budget Reasonableness (Maximum 10 points).
    (i) The resources requested are reasonable and adequate to 
accomplish the project. (0-5 points)
    (ii) Total costs are reasonable and consistent with anticipated 
results. (0-5 points)

5. Criteria for Review and Evaluation of All Applications Under 
Priority Area 2.1

    (a) Criterion I: Analysis of Need (Maximum: 5 points).
    The application documents that the project addresses a vital need 
in a distressed community and provides statistics and other data and 
information in support of its contention.
    (b) Criterion II: Organizational Experience in Program Area and 
Staff Responsibilities (Maximum: 15 points).
    (i) Organizational Experience in Program Area (sub-rating: 0-5 
points)
    Documentation provided indicates that projects previously 
undertaken have been relevant and effective and have provided permanent 
benefits to the low-income population.
    Organizations which propose providing training and technical 
assistance have detailed competence in the specific program priority 
area and as a deliverer with expertise in the fields of training and 
technical assistance. If applicable, information provided by these 
applicants also addresses related achievements and competence of each 
cooperating or sponsoring organization.
    (ii) Staff Skills, Resources and Responsibilities (sub-rating 0-10 
points).
    The application describes in brief resume form the experience and 
skills of the project director who is not only well qualified, but his/
her professional capabilities are relevant to the successful 
implementation of the project. If the key staff person has not yet been 
identified, the application contains a comprehensive position 
description which indicates that the responsibilities to be assigned to 
the project director are relevant to the successful implementation of 
the project. The applicant has adequate facilities and resources (i.e. 
space and equipment) to successfully carry out the work plan. The 
assigned responsibilities of the staff are appropriate to the tasks 
identified for the project and sufficient time of senior staff will be 
budgeted to assure timely implementation and cost effective management 
of the project.
    (c) Criterion III: Project Implementation (Maximum: 25 points).
    The Business Plan is both sound and feasible. The project is 
responsive to the needs identified in the Analysis of Need. It sets 
forth realistic quarterly time targets by which the various tasks will 
be completed. Critical issues or potential problems that might impact 
negatively on the project are defined and the project objectives can be 
reasonably attained despite such potential problems.
    (d) Criterion IV: Significant and Beneficial Impact (Maximum: 30 
points).
    The application contains a full and accurate description of the 
proposed use of the requested financial assistance. The proposed 
project will produce permanent and measurable results that will reduce 
the incidence of poverty in the areas targeted and significantly 
enhance the self sufficiency of program participants. Results are 
quantifiable in terms of program area expectations, e.g., number of 
units of housing rehabilitated, agricultural and non-agricultural job 
placements, etc. The OCS grant funds, in combination with private and/
or other public resources, are targeted into low-income and/or 
distressed communities and/or designated empowerment zones and 
enterprise communities.
    (e) Criterion V: Public-Private Partnerships (Maximum: 20 points).
    The application documents that the applicant will mobilize from 
public and/or private sources cash and/or in-kind contributions valued 
at an amount equal to the OCS funds requested. Applicants documenting 
that the value of such contributions will be at least equal to the OCS 
funds requested will receive the maximum number of points for this 
Criterion. Lesser contributions will be given consideration based upon 
the value documented.

[[Page 14546]]

    (f) Criterion VI: Budget Appropriateness and Reasonableness 
(Maximum: 5 points).
    Funds requested are commensurate with the level of effort necessary 
to accomplish the goals and objectives of the project. The application 
includes a narrative detailed budget break-down for each of the budget 
categories in the SF-424A. The applicant presents a reasonable 
administrative cost. The estimated cost to the government of the 
project also is reasonable in relation to the anticipated results.

Part E--Application Procedures

1. Availability of Forms

    Attachments B, C, and D contain all of the standard forms necessary 
for the application for awards under these OCS programs. These forms 
may be photocopied for the application.
    Copies of the Federal Register containing this announcement are 
available at most local libraries and Congressional District Offices 
for reproduction. If copies are not available at these sources, they 
may be obtained by telephoning the office listed under the section 
entitled FOR FURTHER INFORMATION at the beginning of this announcement. 
Also, the Federal Register can be found on the Internet through GPO 
access at the following web address: http://www.access.gpo.gov/
su__docs/aces/aces140.html For purposes of this announcement, all 
applicants will use the following forms:

SF 424
SF 424A
SF 424B

    Applications proposing construction projects will also present all 
required financial data using SF-424A. Instructions for completing the 
SF-424, SF-424A, and SF-424B are found in Attachments B, C, and D.
    Part G contains instructions for the project abstract and project 
narrative. They will be submitted on plain bond paper along with the 
SF-424 and related forms.
    Attachment K provides a checklist to aid applicants in preparing a 
complete application package for OCS.
    The applicant must be aware that in signing and submitting the 
application for this award, it is certifying that it will comply with 
the Federal requirements concerning the drug-free workplace and 
debarment regulations set forth in Attachments E and F.

2. Application Submission

    The closing time and date for receipt of applications are 4:30 p.m. 
(Eastern Standard Time) 60 days after publication in the Federal 
Register. Applications received after 4:30 p.m. will be classified as 
late.
    Deadline: Mailed applications shall be considered as meeting an 
announced deadline if they are received on or before the deadline time 
and date at the U. S. Department of Health and Human Services, 
Administration for Children and Families, Division of Discretionary 
Grants, 370 L'Enfant Promenade, S. W., Mail Stop 6C-462, Washington, D. 
C. 20447, Attention: Application for Discretionary Grants Program. 
Applicants are responsible for mailing applications well in advance, 
when using all mail services, to ensure that the applications are 
received on or before the deadline time and date.
    Applications handcarried by applicants, applicant couriers, or by 
overnight/express mail couriers shall be considered as meeting an 
announced deadline if they are received on or before the deadline date, 
between the hours of 8:00 a.m. and 4:30 p.m., at the U. S. Department 
of Health and Human Services, Administration for Children and Families, 
Division of Discretionary Grants, ACF Mailroom, 2nd Floor Loading Dock, 
Aerospace Center, 901 D Street, S. W., Washington, D. C. 20024, between 
Monday and Friday (excluding Federal holidays). (Applicants are 
cautioned that express/overnight mail services do not always deliver as 
agreed.)
    ACF cannot accommodate transmission of applications by fax or 
through other electronic media. Therefore, applications transmitted to 
ACF electronically will not be accepted regardless of date or time of 
submission and time of receipt.
    Late applications: Applications which do not meet the criteria 
above are considered late applications. ACF shall notify each late 
applicant that its application will not be considered in the current 
competition.
    Extension of deadlines: ACF may extend the deadline for all 
applicants because of acts of God such as floods, hurricanes, etc., or 
when there is widespread disruption of the mails. However, if ACF does 
not extend the deadline for all applicants, it may not waive or extend 
the deadline for any applicant.
    One signed original application and four copies are required. The 
first page of the SF-424 must contain in the lower right-hand corner, a 
designation indicating under which sub-priority area funds are being 
requested (for example 1.1, 1.2, 1.3, 1.4, 1.5, 1.6 or 2.1). See Part 
F, section 1, subsection 11 for details.

3. Intergovernmental Review

    This program is covered under Executive Order 12372, 
``Intergovernmental Review of Federal Programs,'' and 45 CFR Part 100, 
``Intergovernmental Review of Department of Health and Human Services 
Programs and Activities.'' Under the Order, States may design their own 
processes for reviewing and commenting on proposed Federal assistance 
under covered programs.
    All States and Territories except Alabama, Alaska, American Samoa, 
Colorado, Connecticut, Hawaii, Idaho, Kansas, Louisiana, Massachusetts, 
Minnesota, Montana, Nebraska, New Jersey, Oklahoma, Oregon, Palau, 
Pennsylvania, South Dakota, Tennessee, Vermont, Virginia and Washington 
have elected to participate in the Executive Order process and have 
established Single Points of Contact (SPOCs). Applicants from these 
twenty-three jurisdictions need take no action regarding E.O. 12372. 
Applicants for projects to be administered by Federally-recognized 
Indian Tribes are also exempt from the requirements of E.O. 12372. 
Otherwise, applicants should contact their SPOCs as soon as possible to 
alert them of the prospective applications and receive any necessary 
instructions. Applicants must submit any required material to the SPOCs 
as soon as possible so that the program office can obtain and review 
SPOC comments as part of the award process. It is imperative that the 
applicant submit all required materials, if any, to the SPOC and 
indicate the date of this submittal (or the date of contact if no 
submittal is required) on the Standard Form 424, item 16a.
    Under 45 CFR 100.8(a)(2), a SPOC has 60 days from the application 
deadline date to comment on proposed new or competing continuation 
awards.
    SPOCs are encouraged to eliminate the submission of routine 
endorsements as official recommendations. Additionally, SPOCs are 
requested to clearly differentiate between mere advisory comments and 
those official State process recommendations which they intend to 
trigger the ``accommodate or explain'' rule.
    When comments are submitted directly to ACF, they should be 
addressed to: Department of Health and Human Services, Administration 
for Children and Families, Division of Discretionary Grants, 370 
L'Enfant Promenade, S.W., Mail Stop 6C-462, Washington, D.C. 20447.
    A list of the Single Points of Contact for each State and Territory 
is included as Attachment G of this announcement.

[[Page 14547]]

4. Application Consideration

    Applications which meet the screening requirements in sections 5a 
and b below may be reviewed competitively. Such applications will be 
referred to reviewers for a numerical score and explanatory comments 
based solely on responsiveness to program priority area guidelines and 
evaluation criteria published in this announcement.
    Applications submitted under all priority areas (with the exception 
of Sub-Priority Area 1.6) will be reviewed by persons outside of the 
OCS unit which will be directly responsible for programmatic management 
of the grant. The results of these reviews will assist the Director and 
OCS program staff in considering competing applications. Reviewers' 
scores will weigh heavily in funding decisions but will not be the only 
factors considered. Applications generally will be considered in order 
of the average scores assigned by reviewers. However, highly ranked 
applications are not guaranteed funding since the Director may also 
consider other factors deemed relevant including, but not limited to, 
the timely and proper completion of projects funded with OCS funds 
granted in the last five (5) years; comments of reviewers and 
government officials; staff evaluation and input; geographic 
distribution; previous program performance of applicants; compliance 
with grant terms under previous DHHS grants; audit reports; 
investigative reports; and applicant's progress in resolving any final 
audit disallowances on previous OCS or other Federal agency grants. 
Applicants with three or more active OCS grants at the time of review 
may be denied funding. In addition, for applications received under 
1.0, OCS will consider the geographic distribution of funds among 
States and the relative proportion of funding among rural and urban 
areas in accordance with Section 681(b)(1)(D) of the Act.
    OCS reserves the right to discuss applications with other Federal 
or non-Federal funding sources to ascertain the applicant's performance 
record.

5. Criteria for Screening Applicants

(a) Initial Screening
    All applications that meet the published deadline for submission 
will be screened to determine completeness and conformity to the 
requirements of this announcement. Only those applications meeting the 
following requirements will be reviewed and evaluated competitively. 
Others will be returned to the applicants with a notation that they 
were unacceptable.
    (i) The application must contain a Standard Form 424 ``Application 
for Federal Assistance'' (SF-424), a budget (SF-424A), and signed 
``Assurances'' (SF 424B) completed according to instructions published 
in Parts F and G and Attachments B, C, and D of this Program 
Announcement.
    (ii) A project abstract must also accompany the standard forms.
    (iii) The SF-424 and the SF-424B must be signed by an official of 
the organization applying for the grant who has authority to obligate 
the organization legally.
    (iv) The application must be submitted for consideration under one 
priority area only.
(b) Pre-rating Review
    Applications which pass the initial screening will be forwarded to 
reviewers and/or OCS staff prior to the programmatic review to verify 
that the applications comply with this Program Announcement in the 
following areas:
    (i) Eligibility: Applicant meets the eligibility requirements for 
the priority area under which funds are being requested. Proof of non-
profit status, i.e. the IRS determination letter of tax exemption, must 
be included in the Appendices of the Project Narrative where 
applicable. Applicants must also be aware that the applicant's legal 
name as required in SF-424 (Item 5) must match that listed as 
corresponding to the Employer Identification Number (Item 6).
    (ii) Number of Projects: An application may contain only one 
project under Sub-Priority Areas 1.1, 1.2 and 1.4. However, an 
application may contain more than one project under Sub-Priority Areas 
1.3, 1.5, and 1.6 where applicants are researching various 
opportunities, sharing administrative and management expertise with 
current OCS grantees, or are providing assistance to current OCS 
grantees, or providing training and/or technical assistance for current 
OCS grantees, including the organization of seminars and other 
activities to assist Community Development Corporations and this 
project must be identified as responding to one of the program priority 
areas stated in this Announcement.
    Applicants which are not in compliance with this requirement will 
be ineligible for funding.
    (iii) Grant amount: The amount of funds requested does not exceed 
the limits indicated in Part C, 2, b for the appropriate priority area.
    (iv) Written Agreement When Applicant Proposes to Make Equity 
Investment, Loan, or Sub-Grant: (Sub-Priority Areas 1.1, 1.2 and 1.4); 
The application contains a written agreement signed by the applicant 
and the third party which includes all of the elements required in Part 
C.
    An application may be disqualified from the competition and 
returned if it does not conform to one or more of the above 
requirements.
(c) Evaluation Criteria
    Applications which pass the pre-rating review will be assessed and 
scored by reviewers. Each reviewer will give a numerical score for each 
application reviewed. These numerical scores will be supported by 
explanatory statements on a formal rating form describing major 
strengths and weaknesses under each applicable criterion published in 
the announcement.
    The in-depth evaluation and review process will use the following 
criteria coupled with the specific requirements contained under each 
program priority area as described in Part C.
(d) Paperwork Reduction
    Under the Paperwork Reduction Act of 1995, Public Law 104-13. An 
agency may not conduct or sponsor, and a person is not required to 
respond to, a collection of information unless it displays a currently 
valid OMB control number. This program announcement does not contain 
information collection requirements beyond those approved for ACF grant 
applications under OMB Control Number 0970-0062.

Part F--Contents of Application and Receipt Process

1. Contents of Application

    Each application, whether involving construction or not, should 
include one original and four additional copies of the following:
    I. A signed ``Application for Federal Assistance'' (SF-424);
    II. ``Budget Information-Non-Construction Programs'' (SF-424A);
    III. A signed ``Assurances-Non-Construction Programs'' (SF-424B);
    IV. A Project Abstract (a paragraph which succinctly describes the 
project (in 500 characters or less));
    V. A Project Narrative consisting of the following elements 
preceded by a consecutively numbered Table of Contents that will 
describe the project in the following order:

A. Eligibility Confirmation
B. Analysis of Need (except for Sub-Priorities 1.5 and 1.6)
C. Organizational Experience in Program Area and Staff Responsibilities

[[Page 14548]]

    1. Organizational experience in program area
    a. Grantee
    b. CPA certification of management system (applies to Sub-priority 
Area 1.3 only)
    2. Staff Skills, Resources and Responsibilities
D. Project Implementation
    1. Includes work plan or business plan. See instructions in Part G, 
``Instructions for Completing Application Package''.
    2. Self evaluation component (applies to Sub-priority Area 1.3 
only)
E. Significant and Beneficial Impacts
    1. Significant and Beneficial Impacts
    2. Cost Per Job (except Sub-priority Areas 1.3, 1.5 and 1.6)
    3. Career Development Opportunities (except Sub-priority Areas 1.3, 
1.5 and 1.6)
    4. Strategy for mobilization of resources and development of 
business plan (applies to Sub-priority Area 1.3 only)
F. Public/Private Partnerships and Agreements
G. Budget Appropriateness and Reasonableness

    VI. Appendices including: proof of nonprofit status by providing a 
copy of the applicant's listing in the Internal Revenue Service's (IRS) 
most recent list of tax-exempt organizations described in Section 
501(c)(3) of the IRS code or by providing a copy of the currently valid 
IRS tax exemption certificate, or by providing a copy of the Articles 
of Incorporation bearing the seal of the State in which the corporation 
or association is domiciled; proof of CDC status by providing a copy of 
the purposes section of its Articles of Incorporation and a listing of 
the current Board of Directors' names, titles and addresses; resumes of 
the project director and other key management team members; written 
agreements i.e., third party participation, coordination with AFDC/
TANF, etc.; Single Point of Contact comments, where applicable; 
certification regarding anti-lobbying activities; smokefree workplace 
assurance; a disclosure of lobbying activities, etc.
    The application package should not exceed 65 pages for applications 
submitted under sub-priority areas 1.1, 1.2 and 1.4, and 30 pages for 
all applications submitted under the other sub-priority areas.
    Applications should be two holed punched at the top center and 
fastened with a compressor slide paper fastener or a binder clip. The 
submission of bound applications, or applications enclosed in binders, 
is especially discouraged.
    Applications must be uniform in composition since OCS may find it 
necessary to duplicate them for review purposes. Therefore, 
applications must be submitted on white 8 1/2  x  11 inch paper only. 
They must not include colored, oversized or folded materials. Do not 
include organizational brochures or other promotional materials, 
slides, films, clips, etc. in the proposal. They will be discarded, if 
included.

2. Acknowledgement of Receipt

    All applicants will receive an acknowledgement notice with an 
assigned identification number. Applicants are requested to supply a 
self-addressed mailing label with their application which can be 
attached to this acknowledgement notice. The identification number and 
the program priority area letter code must be referred to in all 
subsequent communications with OCS concerning the application. If an 
acknowledgement is not received within three weeks after the deadline 
date, please notify ACF by telephone (202) 401-9365.

Part G--Instructions for Completing Application Package

    It is suggested that the applicant reproduce the SF-424 and SF-
424A, and type its organization's legal name on the copies. If an item 
on the SF-424 cannot be answered or does not appear to be related or 
relevant to the assistance requested, write ``NA'' for ``Not 
Applicable.''
    Prepare your application in accordance with the standard 
instructions given in Attachments B and C corresponding to the forms, 
as well as the OCS specific instructions set forth below:
    1. SF-424  ``Application for Federal Assistance.''
    Item 1. For the purposes of this announcement, all proposals are 
considered ``Applications''; there are no ``Pre-Applications.'' For the 
purpose of this announcement, construction projects involve land 
improvements and development or major renovation of (new or existing) 
facilities and buildings, including their improvements, fixtures and 
permanent attachments. All others are considered non-construction. 
Check the appropriate box under ``Application.'' Whether applications 
involve construction or non-construction projects, all applicants are 
required to complete the ``Budget Information--Non-construction 
Programs'' sections of SF 424A.
    Items 2.--4. Self-Explanatory.
    Items 5. and 6. The legal name of the applicant must match that 
listed as corresponding to the Employer Identification Number. Where 
the applicant is a previous Department of Health and Human Services 
grantee, enter the Central Registry System Employee Identification 
Number (EIN) and the Payment Identifying Number (PIN), if one has been 
assigned, in the Block entitled ``Federal Identifier'' located at the 
top right hand corner of the form.
    Item 7. If the applicant is a non-profit corporation, enter ``N'' 
in the box and specify ``non-profit corporation'' in the space marked 
``Other.'' Any non-profit organization submitting an application must 
submit proof of its non-profit status in its applications at time of 
submission. The non-profit organization can accomplish this by 
providing a copy of the applicant's listing in the Internal Revenue 
Service's (IRS) most recent list of tax-exempt organizations described 
in Section 501(c)(3) of the IRS code or by providing a copy of the 
currently valid IRS tax exemption certificate, or by providing a copy 
of the articles of incorporation bearing the seal of the State in which 
the corporation or association is domiciled. Notwithstanding the above 
requirements, each applicant must provide proof of CDC status by 
providing a copy of the purposes section of its Articles of 
Incorporation and a listing of its current Board of Directors showing 
each person's name, title, and local address.
    Item 8. For the purposes of this announcement, all applications are 
``New''.
    Item 9. Enter DHHS-ACF/OCS.
    Item 10. The Catalog of Federal Domestic Assistance number for OCS 
programs covered under this announcement is 93.570. The title is ``CSBG 
Discretionary Awards.''
    Item 11. The following designations must be used to identify the 
program priority area:

UR--Sub-Priority Area 1.1. Urban and Rural Community Economic 
Development (Operational)
HB--Sub-Priority Area 1.2. Urban and Rural Community Economic 
Development (HBCU Set-Aside)
PD--Sub-Priority Area 1.3. Urban and Rural Community Economic 
Development (Pre-Developmental Set-Aside)
DD--Sub-Priority Area 1.4. Urban and Rural Community Economic 
Development (Developmental Set-Aside)
AM--Sub-Priority Area 1.5. Administrative and Management (Set-Aside)
UT--Sub-Priority Area 1.6. Technical Assistance (Set-Aside)

[[Page 14549]]

RF--Sub-Priority Area 2.1. Rural Community Facilities Development 
(Water and Waste Water Treatment Systems Development)

    2. SF-424A--``Budget Information--Non-Construction Programs.''
    See Instructions accompanying this form as well as the instructions 
set forth below:
    In completing these sections, the ``Federal Funds'' budget entries 
will relate to the requested OCS discretionary funds only, and ``Non-
Federal'' will include mobilized funds from all other sources--
applicant, state, local, and other. Federal funds other than requested 
OCS discretionary funding should be included in ``Non-Federal'' 
entries.
    The budget forms in SF-424A are only to be used to present grant 
administrative costs and major budget categories. Financial data that 
is generated as part of a project Business Plan or other internal 
project cost data must be separate and should appear as part of the 
project Business Plan or other project implementation data.
    Sections A and D of SF-424A must contain entries for both Federal 
(OCS) and non-Federal (mobilized) funds. Section B contains entries for 
Federal (OCS) funds only. Clearly identified continuation sheets in SF-
424A format should be used as necessary.

Section A--Budget Summary

    Lines 1-4.

Col. (a):
    Line 1 Enter ``CSBG Discretionary'';
Col. (b):
    Line 1 Enter ``93.570'';
Col. (c) and (d):
    Applicants should leave columns (c) and (d) blank.
Col. (e)-(g):
    For line 1, enter in columns (e), (f) and (g) the appropriate 
amounts needed to support the project for the budget period.

    Line 5 Enter the figures from Line 1 for all columns completed as 
required, (c), (d), (e), (f), and (g).

Section B--Budget Categories

    Allowability of costs are governed by applicable cost principles 
set forth in 45 CFR Parts 74 and 92. A budget narrative must be 
submitted that includes the appropriate justifications as stated.
    Columns (1) and (5):
    In OCS applications, it is only necessary to complete Columns (1) 
and (5).
    Column 1: Enter the total requirements for OCS Federal funds by the 
Object Class Categories of this section:
    Personnel-Line 6a: Enter the total costs of salaries and wages of 
applicant/grantee staff only. A breakdown of amounts and percentage of 
time that comprises the salary must be noted. Do not include costs of 
consultants or personnel costs of delegate agencies or of specific 
project(s) or businesses to be financed by the applicant.
    Fringe Benefits-Line 6b: Enter the total costs of fringe benefits 
unless treated as part of an approved indirect cost rate which is 
entered on line 6j. Provide a breakdown of amounts and percentages that 
comprise fringe benefit costs.
    Travel-Line 6c: Enter total estimated costs of all travel by 
employees of the project. The purpose, traveler, number of days, 
airfare and per diem rates must be stated. Travel costs for the 
Executive Director or Project Director to attend a two day national 
workshop in Washington, D.C. should be included. Do not enter costs for 
consultant's travel. Provide justification for requested travel costs.
    Equipment-Line 6d: Enter the total estimated costs of all non-
expendable personal property to be acquired by the project. ``Non-
expendable personal property'' means tangible non-expendable personal 
property having a useful life of more than one year and an acquisition 
cost of $5,000 or more per unit.
    Supplies-Line 6e: Enter the total estimated costs of all tangible 
personal property (supplies) other than that included on line 6d. 
Identify the item, unit cost and quantity to be purchased.
    Contractual-Line 6f: Enter the total estimated costs of all 
contracts, including (1) procurement contracts (except those which 
belong on other lines such as equipment, supplies, etc.) and (2) 
contracts with secondary recipient organizations including delegate 
agencies and specific project(s) or businesses to be financed by the 
applicant. Identify the purpose and costs associated. Also include any 
contracts with organizations for the provision of technical assistance. 
Do not include payments to individual service contractors on this line. 
If available at the time of application, attach a list of contractors 
indicating the name of the organization, the purpose of the contract 
and the estimated dollar amount of the award.

    Note: Whenever the applicant/grantee intends to delegate part of 
the program to another agency, the applicant/grantee must submit 
Sections A and B of this form (SF-424A), completed for each delegate 
agency by agency title, along with the required supporting 
information referenced in the applicable instructions. The total 
costs of all such agencies will be part of the amount shown on Line 
6f. Provide back-up documentation identifying name of contractor, 
purpose of contract and major cost elements.

    Construction-Line 6g: Enter the estimated costs of renovation, 
repair, or new construction. Identify the type of construction activity 
and costs associated, i.e., concrete, HVAC, electrical, etc. Provide 
narrative justification and breakdown of costs.
    Other-Line 6h: Enter the total of all other costs. Such costs, 
where applicable, may include but are not limited to insurance, food, 
medical and dental costs (noncontractual), fees and travel paid 
directly to individual consultants, space and equipment rentals, 
printing and publication, computer use, training costs, including 
tuition and stipends, training service costs including wage payments to 
individuals and supportive service payments, and staff development 
costs. Note that costs identified as ``miscellaneous'' and 
``honoraria'' are not allowable.
    Total Direct Charges-Line 6i: Show the total of Lines 6a through 
6h.
    Indirect Charges-Line 6j: Enter the total amount of indirect costs. 
This line should be used only when the applicant currently has an 
indirect cost rate approved by the Department of Health and Human 
Services or another Federal agency or is awaiting such approval. With 
the exception of local governments and State agencies, applicants 
should enclose a copy of the current rate agreement if it was 
negotiated with a Federal agency other than the Department of Health 
and Human Services.
    If the applicant organization is in the process of initially 
developing or renegotiating a rate, it should immediately, upon 
notification that an award will be made, develop a tentative indirect 
cost rate proposal based on its most recently completed fiscal year in 
accordance with the principles set forth in the pertinent DHHS Guide 
for Establishing Indirect Cost Rates, and submit it to the appropriate 
DHHS Regional Office.
    It should be noted that when an indirect cost rate is requested, 
those costs included in the indirect cost pool should not be charged as 
direct costs to the grant.
    Totals-Line 6k: Enter the total amounts of Lines 6i and 6j. The 
total amount shown in Section B, Column (5), Line 6k, should be the 
same as the amount shown in Section A, Line 5, Column (e).
    Program Income-Line 7: Enter the estimated amount of income, if 
any,

[[Page 14550]]

expected to be generated from this project. Separately show expected 
program income generated from OCS support and income generated from 
other mobilized funds. Do not add or subtract this amount from the 
budget total. Show the nature and source of income in the program 
narrative statement.
    Column 5: Carry totals from Column 1 to Column 5 for all line 
items.

Section C--Non-Federal Resources

    This section is to record the amounts of ``non-Federal'' resources 
that will be used to support the project. ``Non-Federal'' resources 
mean other than OCS funds for which the applicant is applying. 
Therefore, mobilized funds from other Federal programs, such as the Job 
Training Partnership Act program, should be entered on these lines. 
Provide a brief listing of the non-Federal resources on a separate 
sheet and describe whether it is a grantee-incurred cost or a third-
party in-kind contribution. The firm commitment of these resources must 
be documented and submitted with the application in order to be given 
credit in the Public-Private Partnerships criterion.
    Except in unusual situations, this documentation must be in the 
form of letters of commitment from the organization(s)/individuals from 
which funds will be received.
    Line 8:
    Column (a): Enter the project title.
    Column (b): Enter the amount of contributions to be made by the 
applicant to the project.
    Column (c): Enter the State contribution. If the applicant is a 
State agency, enter the non-Federal funds to be contributed by the 
State other than the applicant.
    Column (d): Enter the amount of cash and in-kind contributions to 
be made from all other sources.
    Column (e): Enter the total of columns (b), (c), and (d).
    Lines 9, 10, and 11 should be left blank.
    Line 12: Carry the total of each column of Line 8, (b) through (e). 
The amount in Column (e) should be equal to the amount on Section A, 
Line 5, column (f).

Section D--Forecasted Cash Needs

    Line 13: Enter the amount of Federal (OCS) cash needed for this 
grant by quarter. During the budget period for grants which are more 
than twelve (12) months, submit a separate sheet for each additional 
twelve (12) months or portion thereof.
    Line 14 Enter the amount of cash from all other sources needed by 
quarter during the budget period.
    Line 15: Enter the total of Lines 13 and 14.

Section E--Budget Estimates of Federal Funds Needed for Balance of 
Project(s)

    Completion not required

Section F--Other Budget Information

    Line 21--Use this space and continuation sheets as necessary to 
fully explain and justify the major items included in the budget 
categories shown in Section B. Include sufficient detail to facilitate 
determination of allowability, relevance to the project, and cost 
benefits. Particular attention must be given to the explanation of any 
requested direct cost budget item which requires explicit approval by 
the Federal agency. Budget items which require identification and 
justification shall include, but not be limited to, the following:
    A. Salary amounts and percentage of time worked for those key 
individuals who are identified in the project narrative;
    B. Any foreign travel;
    C. A list of all equipment and estimated cost of each item to be 
purchased wholly or in part with grant funds which meet the definition 
of nonexpendable personal property provided on Line 6d, Section B. Need 
for equipment must be supported in program narrative.
    D. Contractual: Major items or groups of smaller items; and
    E. Other: group into major categories all costs for consultants, 
local transportation, space, rental, training allowances, staff 
training, computer equipment, etc. Provide a complete breakdown of all 
costs that make up this category.
    Line 22--Enter the type of HHS or other Federal agency approved 
indirect cost rate (provisional, predetermined, final or fixed) that 
will be in effect during the funding period, the estimated amount of 
the base to which the rate is applied and the total indirect expense. 
Also, enter the date the rate was approved, where applicable. Attach a 
copy of the rate agreement if it was negotiated with a Federal agency 
other than the Department of Health and Human Services.
    Line 23--Provide any other explanations and continuation sheets 
required or deemed necessary to justify or explain the budget 
information.
    3. SF-424B  ``Assurances-Non-Construction.''
    All applicants, whether or not project involves construction, must 
file the Standard Form 424B, ``Assurances: Non-Construction Programs.'' 
Applicants must sign and return the Standard Form 424B, found at 
Attachment D, with their applications.
    4. Restrictions on Lobbying Activities--Applicants must provide a 
certification concerning Lobbying. Prior to receiving an award in 
excess of $100,000, applicants shall furnish an executed copy of the 
lobbying certification. Applicants must sign and return the 
certification, found at Attachment H, with their applications.
    5. Disclosure of Lobbying Activities, SF-LLL--Fill out, sign and 
date form found at Attachment H, if applicable.
    6. Certification Regarding Environmental Tobacco Smoke.
    Applicants must make the appropriate certification of their 
compliance with the Pro-Children Act of 1994. By signing and submitting 
the applications, applicants are providing the certification regarding 
environmental tobacco smoke and need not mail back the certification 
with their applications.
    7. Project Abstract.
    The project abstract is a brief summary of the project to include 
specific benefits such as number of jobs to be created, especially jobs 
for low-income individuals. The abstract must not exceed 500 characters 
(including words, spaces and punctuation) on a separate sheet of plain 
paper headed by the applicant's name as shown in item 5 of the SF 424 
and the priority area number as shown by you at the bottom of the SF 
424.
    8. Project Narrative.
    The application package including the narrative should not exceed 
65 pages for the applications submitted under sub-priority areas 1.1, 
1.2 and 1.4 and 30 pages under the other sub-priority areas.
    The project narrative must address the specific concerns mentioned 
under the relevant priority area description in Part C. The narrative 
should provide information on how the application meets the evaluation 
criteria in Part D, of this Program Announcement and should follow the 
format below:
    a. Eligibility Confirmation. This section must explain how the 
applicant has complied with each of the basic requirements listed in 
Part E, sections 5b(1)-(4), i.e., (1) that the applicant meets the 
eligibility requirements for the sub-priority area under which funds 
are being requested; (2) an application submitted under sub-priority 
areas 1.1, 1.2, 1.4, or 2.1, contains only one project; (3) the amount 
of funds requested does not exceed the limits indicated in Part B, 
Section 2b for the appropriate sub-priority area; (4) (Sub-Priority 
Areas 1.1, 1.2, and 1.4) if an applicant proposes to use OCS funds for 
an equity investment, a loan, or a sub-grant, the application contains 
a written

[[Page 14551]]

agreement signed by the applicant and the third party which includes 
all of the elements required in Part C. An application may be 
disqualified from the competition and returned if it does not conform 
to one or more of the above requirements.
    b. Analysis of Need. The application should include a description 
of the target area and population to be served as well as a discussion 
of the nature and extent of the problem to be solved. It should also 
include documentation supportive of its needs assessment such as 
employment statistics, housing statistics, etc.
    c. Organizational Experience and Staff Responsibilities. (i) 
Organizational Experience. Each applicant must document competence in 
the specific program priority area under which an application is 
submitted. Documentation must be provided which addresses the relevance 
and effectiveness of projects previously undertaken in the specific 
priority area for which funds are being requested and especially their 
cost effectiveness, the relevance and effectiveness of any services 
provided, and the permanent benefits provided to the low-income 
population. Organizations which propose providing training and 
technical assistance must detail their competence in the specific 
program priority area and as a deliverer with expertise in the fields 
of training and technical assistance. If applicable, information 
provided by these applicants must also address related achievements and 
competence of each cooperating or sponsoring organization.

Applicable to Sub-Priority Areas 1.1, 1.2, 1.4 and 1.5

    Applicants in these priority areas must also document a firmly 
established and quantifiable performance record that shows the 
following:

--The ability to implement major activities such as business 
development, commercial development, physical development, or financial 
services;
--Successful working relationships within the community including 
public officials, financial institutions, corporations, other community 
organizations and residents;
--A sound asset base and organizational structure in terms of (a) net 
worth, (b) management stability, and (c) organizational capability;
--An ability to develop and maintain a stable program in terms of 
business, physical or community development activities that will 
provide needed permanent jobs, services, business development 
opportunities and other benefits to community residents, and impact on 
community-wide economic problems and needs;
--Sound administrative and fiscal systems and controls, and the ability 
to establish and maintain partnerships with the private sector in such 
forms as financial support, volunteerism or executives on loan.
    (ii) Staff Skills, Resources and Responsibilities. The application 
must fully describe (e.g. a resume or position description) the 
experience and skills of the proposed project director showing that the 
individual is not only well qualified but that his/her professional 
capabilities are relevant to the successful implementation of the 
project.
    The application must include statements regarding who will have the 
responsibilities of the chief executive officer, who will be 
responsible for grant coordination with OCS, and how the assigned 
responsibilities of the staff are appropriate to the tasks identified 
for the project. It must show clearly that sufficient time of senior 
staff will be budgeted to assure timely implementation and cost 
effective management of the project.
    d. Project Implementation. The application must contain a detailed 
and specific workplan or business plan that is both sound and feasible. 
Generally, a business plan is required for applications submitted under 
sub-priority areas 1.1, 1.2 and 1.4. For all business ventures (except 
for business development opportunities for self-employed program 
participants) a complete business plan will be required using 
guidelines discussed in the next several paragraphs. For the remaining 
sub-priority areas, a workplan is acceptable in lieu of a business 
plan.

    Please note that OCS does not require the application to contain 
business plans for each self-employed program participant. However, 
a project that proposes to provide self-employed and other business 
opportunities for program participants must include a development 
plan that shows how participants will become self-sufficient and how 
their technical assistance needs will be met.

Guidelines of a Business Plan

    The business plan is one of the major components that will be 
evaluated by the OCS to determine the feasibility of a business venture 
or an economic development project. It must be well prepared and 
address all the relevant elements as follows:
    (a) Executive Summary (limit summary to 3 pages).
    (b) The business and its industry. This section should describe the 
nature and history of the business and provide some background on its 
industry.
    (i) The Business: as a legal entity; the general business category;
    (ii) Description and Discussion of Industry: current status and 
prospects for the industry;
    (c) Products and Services: This section deals with the following:
    (i) Description: Describe in detail the products or services to be 
sold;
    (ii) Proprietary Position: Describe proprietary features if any of 
the product, e.g. patents, trade secrets;
    (iii) Potential: Features of the product or service that may give 
it an advantage over the competition;
    (d) Market Research and Evaluation: This section should present 
sufficient information to show that the product or service has a 
substantial market and can achieve sales in the face of competition;
    (i) Customers: Describe the actual and potential purchasers for the 
product or service by market segment.
    (ii) Market Size and Trends: State the size of the current total 
market for the product or service offered;
    (iii) Competition: An assessment of the strengths and weaknesses of 
competitive products and services;
    (iv) Estimated Market Share and Sales: Describe the characteristics 
of the product or service that will make it competitive in the current 
market;
    (e) Marketing Plan: The marketing plan should detail the product, 
pricing, distribution, and promotion strategies that will be used to 
achieve the estimated market share and sales projections. The marketing 
plan must describe what is to be done, how it will be done and who will 
do it. The plan should address the following topics--Overall Marketing 
Strategy, Packaging, Service and Warranty, Pricing, Distribution and 
Promotion.
    (f) Design and Development Plans: If the product, process or 
service of the proposed venture requires any design and development 
before it is ready to be placed on the market, the nature and extent 
and cost of this work should be fully discussed. The section should 
cover items such as Development Status and Tasks, Difficulties and 
Risks, Product Improvement and New Products, and Costs.
    (g) Manufacturing and Operations Plan: A manufacturing and 
operations plan should describe the kind of facilities, plant location, 
space, capital equipment and labor force (part and/or full time and 
wage structure) that are required to provide the company's product or 
service.
    (h) Management Team: The management team is the key in starting and 
operating a successful business. The

[[Page 14552]]

management team should be committed with a proper balance of technical, 
managerial and business skills, and experience in doing what is 
proposed. This section must include a description of: the key 
management personnel and their primary duties; compensation and/or 
ownership; the organizational structure; Board of Directors; management 
assistance and training needs; and supporting professional services.
    (i) Overall Schedule: A schedule that shows the timing and 
interrelationships of the major events necessary to launch the venture 
and realize its objectives. Prepare, as part of this section, a month-
by-month schedule that shows the timing of such activities as product 
development, market planning, sales programs, and production and 
operations. Sufficient detail should be included to show the timing of 
the primary tasks required to accomplish each activity.
    (j) Critical Risks and Assumptions: The development of a business 
has risks and problems and the Business Plan should contain some 
explicit assumptions about them. Accordingly, identify and discuss the 
critical assumptions in the Business Plan and the major problems that 
will have to be solved to develop the venture. This should include a 
description of the risks and critical assumptions relating to the 
industry, the venture, its personnel, the product's market appeal, and 
the timing and financing of the venture.
    Also, if a ``construction project'' is involved, the Business Plan 
should identify and address briefly the project's timeframes and 
critical assumptions for conduct of predevelopmental, architectural/ 
engineering and environmental studies, etc., and acquisition of permits 
for building, use and occupancy that are required for the project.
    (k) Community Benefits: The proposed project must contribute to 
economic, human and community development within the project's target 
area. A section that describes and discusses the potential economic and 
non-economic benefits to low-income members of the community must be 
included as well as a description of the strategy that will be used to 
identify and hire individuals being served by public assistance 
programs and how linkages with community agencies/ organizations 
administering the AFDC/TANF program will be developed. The following 
project benefits must be described:

Economic Development and Job Creation

--Number of permanent jobs (with particular emphasis on jobs for low-
income people) that will be created during the project period. Also, 
for low-income people, provide the following information:
--Number of jobs that will have career development opportunities and a 
description of those jobs;
--Number of jobs that will be filled by individuals lifted from AFDC/
TANF assistance;
--Number of Self-employed and other ownership opportunities created for 
low income residents;
--Annual salary expected for each person employed (net profit after 
deductions of business expenses for self-employed persons);
--Specific steps to be taken including on-going management support and 
technical assistance provided by the grantee or a third party to 
develop and sustain self-employed program participants after their 
businesses are in place.
    Note: OCS will not recognize job equivalents nor job counts 
based on economic multiplier functions; jobs must be specifically 
identified.

    Other benefits which might be discussed are:

Human Development

--New technical skills development and associated career opportunities 
for community residents;
--Management development and training;
--Benefits of self-sufficiency for persons lifted from AFDC/TANF 
assistance.

Community Development

--Development of community's physical assets;
--Provision of needed, but currently unsupplied, services or products 
to community;
--Improvement in the living environment.

    (1) The Financial Plan: The Financial Plan is basic to the 
development of a Business Plan. Its purpose is to indicate the 
project's potential and the timetable for financial self-sufficiency. 
In developing the Financial Plan, the following exhibits must be 
prepared for the first three years of the business' operation:
    (i) Profit and Loss Forecasts--quarterly for each year;
    (ii) Cash Flow Projections--quarterly for each year
    (iii) Pro forma balance sheets--quarterly for each year;
    Also, additional financial information for the business operation 
that must be included are an initial Source and Use of Funds Statement 
for project funds and a brief summary paragraph discussing any further 
capital requirements and their sources.
    If an applicant is proposing a project which will affect a property 
listed in, or eligible for inclusion in the National Register of 
Historic Places, it must identify this property in the narrative and 
explain how it has complied with the provisions of Section 106 of the 
National Historic Preservation Act of 1966 as amended. If there is any 
question as to whether the property is listed in or eligible for 
inclusion in the National Register of Historic Places, the applicant 
should consult with the State Historic Preservation Officer. (See 
Attachment D: SF-424B, Item 13 for additional guidance.) The applicant 
should contact OCS early in the development of its application for 
instructions regarding compliance with the Act and data required to be 
submitted to the Department of Health and Human Services. Failure to 
comply with the cited Act may result in the application being 
ineligible for funding consideration.

Applicable to Sub-Priority Areas 1.1, 1.2, and 1.4

    Applications submitted under Sub-Priority Areas 1.1, 1.2 and 1.4 
which propose to use the requested OCS funds to make an equity 
investment or a loan to a business concern, including a wholly-owned 
subsidiary, or to make a sub-grant with a portion of the OCS funds, 
must include a written agreement between the community development 
corporation and the recipient of the grant funds which contains all of 
the elements listed in Part C under the appropriate Priority Area.

Applicable to Sub-Priority Area 1.5 Only

    An applicant in this priority area must document its experience and 
capability in several of the following areas:

Business/Development;
Micro-Entrepreneurship Development;
Commercial Development;
Organizational and Staff Development;
Board Training;
Business Management, including Strategic planning and Fiscal 
Management;
Finance, including Business Packaging and Financial/Accounting 
Services, and/or
Regulatory Compliance including Zoning and Permit Compliance
Incubator Development
Tax Credits and Bond Financing
Marketing


[[Page 14553]]


    The applicant must document staff competence or the accessibility 
of third party resources with proven competence. If the work program 
requires the significant use of third party (consultant/contractor) 
resources, those resources should be identified and resumes of the 
individuals or key organizational staff provided.
    Resumes of the applicant's staff, who are to be directly involved 
in programmatic and administrative expertise sharing, should also be 
included. The applicant must document successful experience in the 
mobilization of resources (both cash and in-kind) from private and 
public sources. The applicant must also clearly state how the 
information learned from this project may be disseminated to other 
interested grantees.

Applicable to Sub-Priority Area 1.6 only

    An applicant in this priority area must document its experience and 
capability in implementing projects national in scope and have 
significant and relative experiences in working with Community 
Development Corporations.
    The applicant must have the ability to collect and analyze data 
nationally that may benefit CDCs and be able to disseminate information 
to all of OCS funded grantees; publish a national directory of funding 
sources for CDCs (public, corporate, foundation, religious); publish 
research papers on specific aspects of job creation by CDCs; design and 
provide information on successful projects and economic niches that 
CDCs can target. The applicant will also be responsible for the 
development of instructional programs, national conferences, seminars, 
and other activities to assist community development corporations; and 
provide peer-to-peer technical assistance to OCS funded CDCs.

Applicable to Sub-Priority Area 2.1

    Each applicant must include a full discussion of how the proposed 
use of funds will enable low-income rural communities to develop the 
capability and expertise to establish and maintain affordable, adequate 
and safe water and waste water systems. Applicants must also discuss 
how they will disseminate information about water and waste water 
programs serving rural communities, and how they will better coordinate 
Federal, State, and local water and waste water program financing and 
development to assure improved service to rural communities.
    Among the benefits that merit discussion under this sub-priority 
area are: The number of rural communities to be provided with technical 
and advisory services; the number of rural poor individuals who are 
expected to be directly served by applicant-supported improved water 
and waste water systems; the decrease in the number of inadequate water 
systems related to applicant activity; the number of newly-established 
and applicant-supported treatment systems (all of the above may be 
expressed in terms of equivalent connection units); the increase in 
local capacity in engineering and other areas of expertise; and the 
amount of non-discretionary program dollars expected to be mobilized.
    e. Significant and Beneficial Impact and Other Criteria.
    The project narrative must address the remaining aspects of the 
project noted in the outline of Part F, ``Contents of Application and 
Receipt Process'', Items V and VI. These include a discussion of the 
``Significant and Beneficial Impact, Public-Private Partnerships and 
Budget Appropriateness and Reasonableness'' areas as well as 
information to be included in the Appendices.

Part H--Post Award Information and Reporting Requirements

    Following approval of the applications selected for funding, notice 
of project approval and authority to draw down project funds will be 
made in writing. The official award document is the Financial 
Assistance Award which provides the amount of Federal funds approved 
for use in the project, the budget period for which support is 
provided, the terms and conditions of the award, the total project 
period for which support is contemplated, and the total financial 
participation from the award recipient.
    General Conditions and Special Conditions (where the latter are 
warranted) which will be applicable to grants, are subject to the 
provisions of 45 CFR Parts 74 and 92.
    Grantees will be required to submit semi-annual progress and 
financial reports (SF-269) as well as a final progress and financial 
report.
    Grantees are subject to the audit requirements in 45 CFR Parts 74 
and 92 and OMB Circular A-128 or A-133. If an applicant will not be 
requesting indirect costs, it should anticipate in its budget request 
the cost of having an audit performed at the end of the grant period.
    Section 319 of Public Law 101-121, signed into law on October 23, 
1989, imposes prohibitions and requirements for disclosure and 
certification related to lobbying on recipients of Federal contracts, 
grants, cooperative agreements, and loans. It provides limited 
exemptions for Indian tribes and tribal organizations. Current and 
prospective recipients (and their subtier contractors and/or grantees) 
are prohibited from using appropriated funds for lobbying Congress or 
any Federal agency in connection with the award of a contract, grant, 
cooperative agreement or loan. In addition, for each award action in 
excess of $100,000 (or $150,000 for loans) the law requires recipients 
and their subtier contractors and/or subgrantees (1) To certify that 
they have neither used nor will use any appropriated funds for payment 
to lobbyists, (2) to submit a declaration setting forth whether 
payments to lobbyists have been or will be made out of nonappropriated 
funds and, if so, the name, address, payment details, and purpose of 
any agreements with such lobbyists whom recipients or their subtier 
contractors or subgrantees will pay with the nonappropriated funds and 
(3) to file quarterly up-dates about the use of lobbyists if an event 
occurs that materially affects the accuracy of the information 
submitted by way of declaration and certification. The law establishes 
civil penalties for noncompliance and is effective with respect to 
contracts, grants, cooperative agreements and loans entered into or 
made on or after December 23, 1989. See Attachment H for certification 
and disclosure forms to be submitted with the applications for this 
program.
    Attachment I indicates the regulations which apply to all 
applicants/grantees under the Discretionary Grants Program.

    Dated: March 18, 1997.
Donald Sykes,
Director, Office of Community Services.

Attachment A

------------------------------------------------------------------------
                                                                Poverty 
                     Size of family unit                       guideline
------------------------------------------------------------------------
1996 Poverty Guidelines for the 48 Contiguous States and the District of
                                Columbia                                
------------------------------------------------------------------------
1............................................................     $7,740
2............................................................     10,360
3............................................................     12,980
4............................................................     15,600
5............................................................     18,220
6............................................................     20,840
7............................................................     23,460
8............................................................     26,080
                                                                        
  For family units with more than 8 members, add $2,226 for each        
additional member. (The same increment applies to smaller family sizes  
also, as can be seen in the figures above.)                             
------------------------------------------------------------------------
                   1996 Poverty Guidelines for Alaska                   
------------------------------------------------------------------------
1............................................................      9,660
2............................................................     12,940

[[Page 14554]]

                                                                        
3............................................................     16,220
4............................................................     19,500
5............................................................     22,780
6............................................................     26,060
7............................................................     29,340
8............................................................     32,620
                                                                        
  For family units with more than 8 members, add $3,280 for each        
additional member. (The same increment applies to smaller family sizes  
also, as can be seen in the figures above.)                             
------------------------------------------------------------------------
                   1996 Poverty Guidelines for Hawaii                   
------------------------------------------------------------------------
1............................................................      8,901
2............................................................     11,920
3............................................................     14,930
4............................................................     17,940
5............................................................     20,950
6............................................................     23,960
7............................................................     26,970
8............................................................     29,980
                                                                        
  For family units with more than 8 members, add $3,010 for each        
additional member. (The same increment applies to smaller family sizes  
also, as can be seen in the figures above.)                             
------------------------------------------------------------------------


BILLING CODE 4184-01-P
      

[[Page 14555]]

[GRAPHIC] [TIFF OMITTED] TN26MR97.000



[[Page 14556]]

Instructions for the SF 424

    This is a standard form used by applicants as a required 
facesheet for preapplications and applications submitted for Federal 
assistance. It will be used by Federal agencies to obtain applicant 
certification that States which have established a review and 
comment procedure in response to Executive Order 12372 and have 
selected the program to be included in their process, have been 
given an opportunity to review the applicant's submission.

Item and Entry

    1. Self-explanatory.
    2. Date application submitted to Federal agency (or State if 
applicable) & applicant's control number (if applicable).
    3. State use only (if applicable).
    4. If this application is to continue or revise an existing 
award, enter present Federal identifier number. If for a new 
project, leave blank.
    5. Legal name of applicant, name of primary organizational unit 
which will undertake the assistance activity, complete address of 
the applicant, and name and telephone number of the person to 
contact on matters related to this application.
    Enter Employer Identification Number (EIN) as assigned by the 
Internal Revenue Service.
    7. Enter the appropriate letter in the space provided.
    8. Check appropriate box and enter appropriate letter(s) in the 
space(s) provided:

--``New'' means a new assistance award.
--``Continuation'' means an extension for an additional funding/
budget period for a project with a projected completion date.
--``Revision'' means any change in the Federal Government's 
financial obligation or contingent liability from an existing 
obligation.

    9. Name of Federal agency from which assistance is being 
requested with this application.
    10. Use the Catalog of Federal Domestic Assistance number and 
title of the program under which assistance is requested.
    11. Enter a brief descriptive title of the project. If more than 
one program is involved, you should append an explanation on a 
separate sheet. If appropriate (e.g., construction or real property 
projects), attach a map showing project location. For 
preapplications, use a separate sheet to provide a summary 
description of this project.
    12. List only the largest political entities affected (e.g., 
State, counties, cities).
    13. Self-explanatory.
    14. List the applicant's Congressional District and any 
District(s) affected by the program or project.
    15. Amount requested or to be contributed during the first 
funding/budget period by each contributor. Value of in-kind 
contributions should be included on appropriate lines as applicable. 
If the action will result in a dollar change to an existing award, 
indicate only the amount of the change. For decreases, enclose the 
amounts in parentheses. If both basic and supplemental amounts are 
included, show breakdown on an attached sheet. For multiple program 
funding, use totals and show breakdown using same categories as item 
15.
    16. Applicants should contact the State Single Point of Contact 
(SPOC) for Federal Executive Order 12372 to determine whether the 
application is subject to the State intergovernmental review 
process.
    17. This question applies to the applicant organization, not the 
person who signs as the authorized representative. Categories of 
debt include delinquent audit disallowances, loans and taxes.
    18. To be signed by the authorized representative of the 
applicant. A copy of the governing body's authorization for you to 
sign this application as official representative must be on file in 
the applicant's office. (Certain Federal agencies may require that 
this authorization be submitted as part of the application.)

BILLING CODE 4184-01-P

[[Page 14557]]

[GRAPHIC] [TIFF OMITTED] TN26MR97.001



[[Page 14558]]

[GRAPHIC] [TIFF OMITTED] TN26MR97.002



[[Page 14559]]

Instructions for the SF-424A

General Instructions

    This form is designed so that application can be made for funds 
from one or more grant programs. In preparing the budget, adhere to 
any existing Federal grantor agency guidelines which prescribe how 
and whether budgeted amounts should be separately shown for 
different functions or activities within the program. For some 
programs, grantor agencies may require budgets to be separately 
shown by function or activity. For other programs, grantor agencies 
may require a breakdown by function or activity. Sections A, B, C, 
and D should include budget estimates for the whole project except 
when applying for assistance which requires Federal authorization in 
annual or other funding period increments. In the latter case, 
Sections A, B, C, and D should provide the budget for the first 
budget period (usually a year) and Section 3 should present the need 
for Federal assistance in the subsequent budget periods. All 
applications should contain a breakdown by the object class 
categories shown in Lines a-k of Section B.

Section A. Budget Summary

Lines 1-4, Columns (a) and (b)

    For applications pertaining to a single Federal grant program 
(Federal Domestic Assistance Catalog number) and not requiring a 
functional or activity breakdown, enter on Line 1 under Column (a) 
the catalog program title and the catalog number in Column (b).
    For applications pertaining to a single program requiring budget 
amounts by multiple functions or activities, enter the name of each 
activity or function on each line in Column (a), and enter the 
catalog number in Column (b). For applications pertaining to 
multiple programs where none of the programs require a breakdown by 
function or activity, enter the catalog program title on each line 
in Column (a) and the respective catalog number on each line in 
Column (b).
    For applications pertaining to multiple programs where one or 
more programs require a breakdown by function or activity, prepare a 
separate sheet for each program requiring the breakdown. Additional 
sheets should be used when one form does not provide adequate space 
for all breakdown of data required. However, when more than one 
sheet is used, the first page should provide the summary total by 
programs.

Lines 1-4, Columns (c) Through (g.)

    For new applications, leave Columns (c) and (d) blank. For each 
line entry in Columns (a) and (b), enter in Columns (e), (f), and 
(g) the appropriate amounts of funds needed to support the project 
for the first funding period (usually a year).
    For continuing grant program applications, submit these forms 
before the end of each funding period as required by the grantor 
agency. Enter in Columns (c) and (d) the estimated amounts of funds 
which will remain unobligated at the end of the grant funding period 
only if the Federal grantor agency instructions provide for this. 
Otherwise, leave these columns blank. Enter in columns (e) and (f) 
the amounts of funds needed for the upcoming period. The amount(s) 
in Column (g) should be the sum of amounts in Columns (e) and (f).
    For supplemental grants and changes to existing grants, do not 
use Columns (c) and (d). Enter in Column (e) the amount of the 
increase or decrease of Federal funds and enter in Column (f) the 
amount of the increase or decrease of non-Federal funds. In Column 
(g) enter the new total budgeted amount (Federal and non-Federal) 
which includes the total previous authorized budgeted amounts plus 
or minus, as appropriate, the amounts shown in Columns (e) and (f). 
The amount(s) in Column (g) should not equal the sum of amounts in 
Columns (e) and (f).
    Line 5--Show the totals for all columns used.

Section B. Budget Categories

    In the column headings (1) through (4), enter the titles of the 
same programs, functions, and activities shown on Lines 1-4, Column 
(a), Section A. When additional sheets are prepared for Section A, 
provide similar column headings on each sheet. For each program, 
function or activity, fill in the total requirements for funds (both 
Federal and non-Federal) by object class categories.
    Lines 6a-i--Show the totals of Lines 6a to 6h in each column.
    Line 6j--Show the amount of indirect cost.
    Line 6k--Enter the total of amounts on Lines 6i and 6j. For all 
applications for new grants and continuation grants the total amount 
in column (5), Line 6k, should be the same as the total amount shown 
in Section A, Column (g), Line 5. For supplemental grants and 
changes to grants, the total amount of the increase or decrease as 
shown in Columns (1)-(4), Line 6k should be the same as the sum of 
the amounts in Section A, Columns (e) and (f) on Line 5.
    Line 7--Enter the estimated amount of income, if any, expected 
to be generated from this project. Do not add or subtract this 
amount from the total project amount. Show under the program 
narrative statement the nature and source of income. The estimated 
amount of program income may be considered by the federal grantor 
agency in determining the total amount of the grant.

Section C. Non-Federal-Resources

    Lines 8-11--Enter amount of non-Federal resources that will be 
used on the grant. If in-kind contributions are included, provide a 
brief explanation on a separate sheet.
    Column (a)--Enter the program titles identical to Column (a), 
Section A. A breakdown by function or activity is not necessary.
    Column (b)--Enter contribution to be made by the applicant.
    Column (c)--Enter the amount of the State's cash and in-kind 
contribution if the applicant is not a State or State agency. 
Applicants which are a State or State agencies should leave this 
column blank.
    Column (d)--Enter the amount of cash and in-kind contributions 
to be made from all other sources.
    Column (e)--Enter totals of Columns (b), (c), and (d).
    Line 12--Enter the total for each of Columns (b)-(e). The amount 
in Column (e) should be equal to the amount on Line 5, Column (f), 
Section A.

Section D. Forecasted Cash Needs

    Line 13--Enter the amount of cash needed by quarter from the 
grantor agency during the first year.
    Line 14--Enter the amount of cash from all other sources needed 
by quarter during the first year.
    Line 15--Enter the totals of amounts on Lines 13 and 14.

Section E. Budget Estimates of Federal Funds Needed for Balance of 
the Project

    Lines 16-19--Enter in Column (a) the same grant program titles 
shown in Column (a), Section A. A breakdown by function or activity 
is not necessary. For new applications and continuation grant 
applications, enter in the proper columns amounts of Federal funds 
which will be needed to complete the program or project over the 
succeeding funding periods (usually in years). This section need not 
be completed for revisions (amendments, changes, or supplements) to 
funds for the current year of existing grants.
    If more than four lines are needed to list the program titles, 
submit additional schedules as necessary.
    Line 20--Enter the total for each of the Columns (b)-(e). When 
additional schedules are prepared for this Section, annotate 
accordingly and show the overall totals on this line.

Section F. Other Budget Information

    Line 21--Use this space to explain amounts for individual direct 
object-class cost categories that may appear to be out of the 
ordinary or to explain the details as required by the Federal 
grantor agency.
    Line 22--Enter the type of indirect rate (provisional, 
predetermined, final or fixed) that will be in effect during the 
funding period, the estimated amount of the base to which the rate 
is applied, and the total indirect expense.
    Line 23--Provide any other explanations or comments deemed 
necessary.

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Attachment F--Certification Regarding Debarment, Suspension, and Other 
Responsibility Matters--Primary Covered Transactions

Instructions for Certification

    1. By signing and submitting this proposal, the prospective 
primary participant is providing the certification set out below.
    2. The inability of a person to provide the certification 
required below will not necessarily result in denial of 
participation in this covered transaction. The prospective 
participant shall submit an explanation of why it cannot provide the 
certification set out below. The certification or explanation will 
be considered in connection with the department or agency's 
determination whether to enter into this transaction. However, 
failure of the prospective primary participant to furnish a 
certification or an explanation shall disqualify such person from 
participation in this transaction.
    3. The certification in this clause is a material representation 
of fact upon which reliance was placed when the department or agency 
determined to enter into this transaction. If it is later determined 
that the prospective primary participant knowingly rendered an 
erroneous certification, in addition to other remedies available to 
the Federal Government, the department or agency may terminate this 
transaction for cause or default.
    4. The prospective primary participant shall provide immediate 
written notice to the department or agency to which this proposal is 
submitted if at any time the prospective primary participant learns 
that its certification was erroneous when submitted or has become 
erroneous by reason of changed circumstances.
    5. The terms covered transaction, debarred, suspended, 
ineligible, lower tier covered transaction, participant person, 
primary covered transaction, principal, proposal, and voluntarily 
excluded, as used in this clause, have the meanings set out in the 
Definitions and Coverage sections of the rules implementing 
Executive Order 12549. You may contact the department or agency to 
which this proposal is being submitted for assistance in obtaining a 
copy of those regulations.
    6. The prospective primary participant agrees by submitting this 
proposal that, should the proposed covered transaction be entered 
into, it shall not knowingly enter into any lower tier covered 
transaction with a person who is proposed for debarment under 48 CFR 
part 9, subpart 9.4, debarred, suspended, declared ineligible, or 
voluntarily excluded from participation in this covered transaction, 
unless authorized by the department or agency entering into this 
transaction.
    7. The prospective primary participant further agrees by 
submitting this proposal that it will include the clause titled 
``Certification Regarding Debarment, Suspension, Ineligibility and 
Voluntary Exclusion-Lower Tier Covered Transaction,'' provided by 
the department or agency entering into this covered transaction, 
without modification, in all lower tier covered transactions and in 
all solicitations for lower tier covered transactions.
    8. A participant in a covered transaction may rely upon a 
certification of a prospective participant in a lower tier covered 
transaction that it is not proposed for debarment under 48 CFR part 
9, subpart 9.4, debarred, suspended, ineligible, or voluntarily 
excluded from the covered transaction, unless it knows that the 
certification is erroneous. A participant may decide the method and 
frequency by which it determines the eligibility of its principals. 
Each participant may, but is not required to, check the List of 
Parties Excluded from Federal Procurement and Nonprocurement 
Programs.
    9. Nothing contained in the foregoing shall be construed to 
require establishment of a system of records in order to render in 
good faith the certification required by this clause. The knowledge 
and information of a participant is not required to exceed that 
which is normally possessed by a prudent person in the ordinary 
course of business dealings.
    10. Except for transactions authorized under paragraph 6 of 
these instructions, if a participant in a covered transaction 
knowingly enters into a lower tier covered transaction with a person 
who is proposed for debarment under 48 CFR part 9, subpart 9.4, 
suspended, debarred, ineligible, or voluntarily excluded from 
participation in this transaction, in addition to other remedies 
available to the Federal Government, the department or agency may 
terminate this transaction for cause or default.
* * * * *

Certification Regarding Debarment, Suspension, and Other Responsibility 
Matters--Primary Covered Transactions

    (1) The prospective primary participant certifies to the best of 
its knowledge and belief, that it and its principals:
    (a) Are not presently debarred, suspended, proposed for 
debarment, declared ineligible, or voluntarily excluded by any 
Federal department or agency;
    (b) Have not within a three-year period preceding this proposal 
been convicted of or had a civil judgment rendered against them for 
commission of fraud or a criminal offense in connection with 
obtaining, attempting to obtain, or performing a public (Federal, 
State or local) transaction or contract under a public transaction; 
violation of Federal or State antitrust statutes or commission of 
embezzlement, theft, forgery, bribery, falsification or destruction 
of records, making false statements, or receiving stolen property;
    (c) Are not presently indicted for or otherwise criminally or 
civilly charged by a governmental entity (Federal, State or local) 
with commission of any of the offenses enumerated in paragraph 
(1)(b) of this certification; and
    (d) Have not within a three-year period preceding this 
application/proposal had one or more public transactions (Federal, 
State or local) terminated for cause or default.
    (2) Where the prospective primary participant is unable to 
certify to any of the statements in this certification, such 
prospective participant shall attach an explanation to this 
proposal.

Attachment G--OMB State Single Point of Contact Listing

Arizona

Joni Saad, Arizona State Clearinghouse, 3800 N. Central Avenue, 
Fourteenth Floor, Phoenix, Arizona 85012, Telephone (602) 280-1315, 
FAX: (602) 280-8144

Arkansas

Mr. Tracy L. Copeland, Manager, State Clearinghouse, Office of 
Intergovernmental Services, Department of Finance and 
Administration, 1515 W. 7th St., Room 412, Little Rock, Arkansas 
72203, Telephone: (501) 682-1074, FAX: (501) 682-5206

California

Grants Coordinator, Office of Planning and Research, 1400 Tenth 
Street, Room 121, Sacramento, California 95814, Telephone (916) 323-
7480, FAX: (916) 323-3018

Delaware

Francine Booth, State Single Point of Contact Executive Department, 
Thomas Collins Building, P.O. Box 1401, Dover, Delaware 19903, 
Telephone: (302) 739-3326, FAX: (302) 739-5661

District of Columbia

Charles Nichols, State Single Point of Contact, Office of Grants 
Mgmt. and Dev., 717 14th Street, N.W.--Suite 500, Washington, D.C. 
20005, Telephone: (202) 727-6554, FAX: (202) 727-1617

Florida

Florida State Clearinghouse, Department of Community Affairs, 2740 
Centerview Drive, Tallahassee, Florida 32399-2100, Telephone: (904) 
922-5438, FAX: (904) 487-2899

Georgia

Tom L. Reid, III, Administrator, Georgia State Clearinghouse, 254 
Washington Street, S.W.--Room 401J, Atlanta, Georgia 30334, 
Telephone: (404) 656-3855 or (404) 656-3829, FAX: (404) 656-7938

Illinois

Virginia Bova, State Single Point of Contact, Department of Commerce 
and Community Affairs, James R. Thompson Center, 100 West Randolph, 
Suite 3-400, Chicago, Illinois 60601, Telephone: (312) 814-6028, 
FAX: (312) 814-1800

Indiana

Amy Brewer, State Budget Agency, 212 State House, Indianapolis, 
Indiana 46204, Telephone: (317) 232-5619, FAX: (317) 233-3323

Iowa

Steven R. McCann, Division for Community Assistance, Iowa Department 
of Economic Development, 200 East Grant Avenue, Des Moines, Iowa 
50309, Telephone: (515) 242-4719, FAX: (515) 242-4859

Kentucky

Ronald W. Cook, Office of the Governor, Department of Local 
Government, 1024 Capitol Center Drive, Frankfort, Kentucky 40601-
8204, Telephone: (502) 573-2382, FAX: (502) 573-2512

[[Page 14562]]

Maine

Joyce Benson, State Planning Office, State House Station #38, 
Augusta, Maine 04333, Telephone: (207) 287-3261, FAX: (207) 287-6489

Maryland

William G. Carroll, Manager, State Clearinghouse for 
Intergovernmental Assistance, Maryland Office of Planning, 301 W. 
Preston Street--Room 1104, Baltimore, Maryland 21201-2365, Staff 
Contact: Linda Janey, Telephone: (410) 225-4490, FAX: (410) 225-4480

Michigan

Richard Pfaff, Southeast Michigan Council of Governments, 1900 
Edison Plaza, 660 Plaza Drive, Detroit, Michigan 48226, Telephone: 
(313) 961-4266, FAX: (313) 961-4869

Mississippi

Cathy Malette, Clearinghouse Officer, Department of Finance and 
Administration, 455 North Lamar Street, Jackson, Mississippi 39202-
3087, Telephone: (601) 359-6762, FAX: (601) 359-6764

Missouri

Lois Pohl, Federal Assistance Clearinghouse, Office of 
Administration, P.O. Box 809, Room 760, Truman Building, Jefferson 
City, Missouri 65102, Telephone: (314) 751-4834, FAX: (314) 751-7819

Nevada

Department of Administration, State Clearinghouse, Capitol Complex, 
Carson City, Nevada 89710, Telephone: (702) 687-4065, FAX: (702) 
687-3983

New Hampshire

Jeffrey H. Taylor, Director, New Hampshire Office of State Planning, 
Attn: Intergovernmental Review Process, Mike Blake, 2\1/2\ Beacon 
Street, Concord, New Hampshire 03301, Telephone: (603) 271-2155, 
FAX: (603) 271-1728

New Mexico

Robert Peters, State Budget Division, Room 190 Bataan Memorial 
Building, Santa Fe, New Mexico 87503, Telephone: (505) 827-3640

New York

New York State Clearinghouse, Division of the Budget, State Capitol, 
Albany, New York 12224, Telephone: (518) 474-1605

North Carolina

Chrys Baggett, Director, N.C. State Clearinghouse, Office of the 
Secretary of Admin., 116 West Jones Street, Raleigh, North Carolina 
27603-8003, Telephone: (919) 733-7232, FAX: (919) 733-9571

North Dakota

North Dakota Single Point of Contact, Office of Intergovernmental 
Assistance, 600 East Boulevard Avenue, Bismarck, North Dakota 58505-
0170, Telephone: (701) 224-2094, FAX: (701) 224-2308

Ohio

Larry Weaver, State Single Point of Contact, State Clearinghouse, 
Office of Budget and Management, 30 East Broad Street, 34th Floor, 
Columbus, Ohio 43266-0411

    Please direct correspondence and questions about 
intergovernmental review to:

Linda Wise, Telephone: (614) 466-0698, FAX (614) 466-5400

Rhode island

Daniel W. Varin, Associate Director, Department of Administration/
Division of Planning, One Capitol Hill, 4th Floor, Providence, Rhode 
Island 02908-5870, Telephone: (401) 277-2656, FAX: (401) 277-2083

    Please direct correspondence and questions to:

Review Coordinator, Office of Strategic Planning

South Carolina

Omeagia Burgess, State Single Point of Contact, Grant Services, 
Office of the Governor, 1205 Pendleton Street--Room 477, Columbia, 
South Carolina 29201, Telephone: (803) 734-0494, FAX: (803) 734-0385

Texas

Tom Adams, Governors Office, Director, Intergovernmental 
Coordination, P.O. Box 12428, Austin, Texas 78711, Telephone: (512) 
463-1771, FAX: (512) 463-1888

Utah

Carolyn Wright, Utah State Clearinghouse, Office of Planning and 
Budget, Room 116, State Capitol, Salt Lake City, Utah 84114, 
Telephone: (801) 538-1535, FAX: (801) 538-1547

West Virginia

Fred Cutlip, Director, Community Development Division, W. Virginia 
Development Office, Building #6, Room 553, Charleston, West Virginia 
25305, Telephone: (304) 558-4010, FAX: (304) 558-3248

Wisconsin

Martha Kerner, Section Chief, State/Federal Relations, Wisconsin 
Department of Administration, 101 East Wilson Street--6th Floor, 
P.O. Box 7868, Madison, Wisconsin 53707, Telephone: (608) 266-2125, 
FAX: (608) 267-6931

Wyoming

Sheryl Jeffries, State Single Point of Contact, Office of the 
Governor, State Capital, Room 124, Cheyenne, Wyoming 82002, 
Telephone: (307) 777-5930, FAX: (307) 632-3909

Territories

Guam

Mr. Giovanni T. Sgambelluri, Director, Bureau of Budget and 
management Research, Office of the Governor, P.O. Box 2950, Aganna, 
Guam 96910, Telephone: 011-671-472-2285, FAX: 011-671-472-2825

Puerto Rico

Norma Burgos/Jose E. Caro, Chairwoman/Director, Puerto Rico Planning 
Board, Federal Proposals Review Office, Minillas Government Center, 
P.O. box 41119, San Juan, Puerto Rico 00940-1119, Telephone: (809) 
727-4444 or (809) 723-6190, FAX: (809) 724-3270 or (809) 724-3103

North Mariana Islands

Mr. Alvaro A. Santos, Executive Officer, State Single Point of 
Contact, Office of Management and Budget, Office of the Governor, 
Saipan, MP, Telephone: (670) 664-2256, FAX: (670) 664-2272

Contact Person: Ms. Jacoba T. Seman, Federal Programs Coordinator, 
Telephone: (670) 644-2289, FAX: (670) 664-2272

Virgin Islands

Jose George, Director, Office of Management and Budget, #41 
Norregade Emancipation Garden Station, Second Floor, Saint Thomas, 
Virgin Islands 00802

    Please direct all questions and correspondence about 
intergovernmental review to:

Linda Clarke, Telephone: (809) 774-0750, FAX: (809) 776-0069

Attachment H--Certification Regarding Lobbying

Certification for Contracts, Grants, Loans, and Cooperative 
Agreements

    The undersigned certifies, to the best of his or her knowledge 
and belief, that:
    (1) No Federal appropriated funds have been paid or will be 
paid, by or on behalf of the undersigned, to any person for 
influencing or attempting to influence an officer or employee of any 
agency, a Member of Congress, an officer or employee of Congress, or 
an employee of a Member of Congress in connection with the awarding 
of any Federal contract, the making of any Federal grant, the making 
of any Federal loan, the entering into of any cooperative agreement, 
and the extension, continuation, renewal, amendment, or modification 
of any Federal contract, grant, loan, or cooperative agreement.
    (2) If any funds other than Federal appropriated funds have been 
paid or will be paid to any person for influencing or attempting to 
influence an officer or employee of any agency, a Member of 
Congress, an officer or employee of Congress; or an employee of a 
Member of Congress in connection with this Federal contract, grant, 
loan or cooperative agreement, the undersigned shall complete and 
submit Standard Form-LLL, ``Disclosure Form to Report Lobbying,'' in 
accordance with its instructions.
    (3) The undersigned shall require that the language of this 
certification be included in the award documents for all subawards 
at all tiers (including subcontracts, subgrants, and contracts under 
grants, loans, and cooperative agreements) and that all 
subrecipients shall certify and disclose accordingly.
    This certification is a material representation of fact upon 
which reliance was placed when this transaction was made or entered 
into. Submission of this certification is a prerequisite for making 
or entering into this transaction impose by section 1352, title 31, 
U.S. Code. Any person who fails to file the required certification 
shall be subject to a civil penalty of not less than $10,000 and not 
more than $100,000 for each such failure.

[[Page 14563]]

State for Loan Guarantee and Loan Insurance

    The undersigned states, to the best of his or her knowledge and 
belief, that:
    If any funds have been paid or will be paid to any person for 
influencing or attempting to influence an officer or employee of any 
agency, a Member of Congress, an officer or employee of Congress, or 
an employee of a Member of Congress in connection with this 
commitment providing for the United States to insure or guarantee a 
loan, the undersigned shall complete and submit Standard Form-LLL 
``Disclosure Form to Report Lobbying,'' in accordance with its 
instructions.
    Submission of this statement is a prerequisite for making or 
entering into this transaction imposed by section 1352, title 31, 
U.S. Code. Any person who fails to file the required statement shall 
be subject to a civil penalty of not less than $10,000 and not more 
than $100,000 for each such failure.

----------------------------------------------------------------------
Signature

----------------------------------------------------------------------
Title

----------------------------------------------------------------------
Organization

----------------------------------------------------------------------
Date

BILLING CODE 4184-01-P
      

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[[Page 14565]]

Attachment I--Department of Health and Human Services (DHHS) 
Regulations Applying to All Applicants/Grantees

Title 45 of the Code of Federal Regulations

Part 16--Administration of Grants (non-governmental)
Part 74--Administration of Grants (state and local governments and 
Indian Tribal affiliates):

Sections
    74.26--Non-Federal Audits
    74.27--Allowable cost for hospitals and non-profit organizations 
among other things
    74.32--Real Property
    74.34--Equipment
    74.35--Supplies
    74.24--Program Income

Part 75--Informal Grant Appeal Procedures
Part 76--Debarment and Suspension from Eligibility for Financial 
Assistance

Subpart F--Drug Free Workplace Requirements

Part 80--Non-discrimination Under Programs Receiving Federal 
Assistance through DHHS Effectuation of Title VI of the Civil Rights 
Act of 1964
Part 81--Practice and Procedures for Hearings Under Part 80 of this 
Title
Part 83--Regulation for the Administration and Enforcement of 
Sections 799A and 845 of the Public Health Service Act
Part 84--Non-discrimination on the Basis of Handicap in Programs and 
Activities Receiving Federal Financial Assistance
Part 85--Enforcement of Non-discrimination on the Basis of Handicap 
in Programs or Activities Conducted by DHHS
Part 86--Non-discrimination on the Basis of Sex in Education 
Programs and Activities Receiving or Benefitting from Federal 
Financial Assistance
Part 91--Non-discrimination on the Basis of Age in Health and Human 
Services Programs or Activities Receiving Federal Financial 
Assistance
Part 92--Uniform Administrative Requirements for Grants and 
Cooperative Agreements to States and Local Governments (Federal 
Register, March 11, 1988)
Part 93--New Restrictions on Lobbying
Part 100--Intergovernmental Review of DHHS Programs and Activities

Attachment J--Certification Regarding Environmental Tobacco Smoke

    Public Law 103-227, Part C--Environmental Tobacco Smoke, also 
known as the Pro-Children Act of 1994 (Act), requires that smoking 
not be permitted in any portion of any indoor routinely owned or 
leased or contracted for by an entity and used routinely or 
regularly for provision of health, day care, education, or library 
services to children under the age of 18, if the services are funded 
by Federal programs either directly or through State or local 
governments, by Federal grant, contract, loan, or loan guarantee. 
The law does not apply to children's services provided in private 
residences, facilities funded solely by Medicare or Medicaid funds, 
and portions of facilities used for inpatient drug or alcohol 
treatment. Failure to comply with the provisions of the law may 
result in the imposition of a civil monetary penalty of up to $1000 
per day and/or the imposition of an administrative compliance order 
on the responsible entity.
    By signing and submitting this application the applicant/grantee 
certifies that it will comply with the requirements of the Act. The 
applicant/grantee further agrees that it will require the language 
of this certification be included in any subawards which contain 
provision for the children's services and that all subgrantees shall 
certify accordingly.

Attachment K--Checklist for Use in Submitting OCS Grant Applications 
(Optional)

    The application should contain:

1. A completed, signed SF-424, ``Application for Federal 
assistance''. The letter code for the priority area e.g., UR) should 
be in the lower right hand corner
2. A completed ``Budget Information--Non-Construction'' (SF-424A)
3. A signed ``Assurances: Non-Construction'' (SF-424A)
4. A Project Abstract
5. A Project Narrative beginning with a Table of contents that 
describes the project in the following order:
    (a) Eligibility Confirmation
    (b) Analysis of Need (except for Sub-Priority 1.5 and 1.6)
    (c) Organizational Experience in Program Area and Staff 
Responsibilities
    (1) Organizational experience in program area
    (2) Staff Skills, Resources and Responsibilities
    (3) CPA certification of management system (applies to 
Subpriority Area 1.3 only)
    (d) Project Implementation (Business Plan)
    (1) Includes work plan or business plan. See instructions in 
Part G, ``Instructions for Completing Application Package''
    (2) Self-evaluation component (applies to Subpriority Area 1.3 
only)
    (e) Significant and Beneficial Impacts
    (1) Significant and Beneficial Impacts
    (2) Cost Per Job (except Subpriority Areas 1.3, 1.5 and 1.6)
    (3) Career Development Opportunities (except Subpriority Areas 
1.3, 1.5 and 1.6)
    (4) Strategy for mobilization of resources and development of 
business plan (applies to Subpriority Area 1.3 only)
    (f) Public/Private Partnerships and Agreements
    (g) Budget Appropriateness and Reasonableness
    (h) Appendices including: copy of applicant's listing in the 
Internal Revenue Service's (IRS) most recent list of tax-exempt 
organizations described in section 501(c)(3) of the IRS code or by 
providing a copy of the currently valid IRS tax-exemption 
certificate, or by providing a copy of the Articles of incorporation 
bearing the seal of the State in which the corporation or 
association is domiciled; proof of CDC status by providing the 
purposes section of the Articles of Incorporation and a list of the 
current Board of Directors' names, titles and addresses; copies of 
resumes of the project director and other key management team 
members; written agreements i.e., third party agreements, 
coordination with AFDC/TANF, etc.; Single Point of Contact comments 
(where applicable); etc.
6. A signed copy of ``Certification Regarding Lobbying Activities''
7. A completed ``Disclosure of Lobbying Activities'', if 
appropriate; and
8. A self-addressed mailing label which can be affixed to a notice 
to acknowledge receipt of application.

    The application should not exceed a total of 65 pages for 
applications submitted under sub-priority areas 1.1, 1.2, and 1.4 
and 30 pages for all applications submitted under the other sub-
priority areas. It should include one original and four identical 
copies, printed on white 8\1/2\ by 11 inch paper only. Applications 
should be two holed punched at the top center and fastened with a 
compressor slide paper fastener or a binder clip. All pages should 
be numbered.

[FR Doc. 97-7520 Filed 3-25-97; 8:45 am]
BILLING CODE 4184-01-P