[Federal Register Volume 63, Number 2 (Monday, January 5, 1998)]
[Notices]
[Pages 358-365]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-41]



[[Page 357]]

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Part III





Department of Commerce





_______________________________________________________________________



National Telecommunications and Information Administration



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Telecommunications and Information Infrastructure Assistance Program; 
Notice

  Federal Register / Vol. 63, No. 2 / Monday, January 5, 1998 / 
Notices  

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DEPARTMENT OF COMMERCE

National Telecommunications and Information Administration
Docket No. 970103002-7304-03
RIN: 0660-ZA02


CFDA: 11.552; Telecommunications and Information Infrastructure 
Assistance Program

AGENCY: National Telecommunications and Information Administration, 
Commerce.

ACTION: Notice of availability of funds.

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SUMMARY: The National Telecommunications and Information Administration 
(NTIA) issues this notice describing the conditions under which 
applications will be received under the Telecommunications and 
Information Infrastructure Assistance Program (TIIAP) and how NTIA will 
determine which applications it will fund. TIIAP assists eligible 
organizations by promoting the widespread use and availability of 
advanced telecommunications and information technologies in the public 
and non-profit sectors. By providing matching grants for information 
infrastructure projects, this program will help develop a nationwide, 
interactive, multimedia information infrastructure that is accessible 
to all Americans, in rural as well as urban areas.

DATES: Complete applications for the Fiscal Year 1998 TIIAP grant 
program must be mailed or hand-carried to the address indicated below 
and received by NTIA no later than 9:00 p.m. EST, March 12, 1998.

ADDRESSES: Applications must be mailed to:
Telecommunications and Information Infrastructure Assistance Program, 
National Telecommunications and Information Administration, U.S. 
Department of Commerce, 1401 Constitution Avenue, NW, HCHB, Room 4092, 
Washington, D.C. 20230.

or hand-delivered to:

Telecommunications and Information Infrastructure Assistance Program, 
National Telecommunications and Information Administration, U.S. 
Department of Commerce, Room 1874, Herbert Clark Hoover Building, 1401 
Constitution Avenue, NW, Washington, D.C. 20230.

    Room 1874 is located at entrance #10 on 15th Street NW, between 
Pennsylvania and Constitution Avenues.

FOR FURTHER INFORMATION CONTACT: Stephen J. Downs, Director of the 
Telecommunications and Information Infrastructure Assistance Program, 
Telephone: 202/482-2048. Fax: 202/501-5136. E-mail: [email protected].

SUPPLEMENTARY INFORMATION:

Program Purposes

    NTIA announces the fifth annual round of a competitive matching 
grant program, the Telecommunications and Information Infrastructure 
Assistance Program (TIIAP). TIIAP was created to promote the 
development, widespread availability, and use of advanced 
telecommunications and information technologies to serve the public 
interest.
    To accomplish this objective, TIIAP will provide matching grants to 
state, local, and tribal 1 governments; non-profit health 
care providers and public health institutions; schools; libraries; 
museums; colleges; universities; public safety providers; non-profit 
community-based organizations; and other non-profit entities. TIIAP 
will support projects that improve the quality of, and the public's 
access to, cultural, education, and training resources; reduce the 
cost, improve the quality, and/or increase the accessibility of health 
care and public health services; promote responsive public safety 
services; improve the effectiveness and efficiency of government 
services; and foster communication, resource-sharing, and economic 
development within communities, both rural and urban.
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    \1\  American Indian Tribes and Alaska Native Villages.
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Authority

    Title II of the Department of Commerce, Justice and State, the 
Judiciary and Related Agencies Appropriations Act of 1998 (set out in 
Pub L. 105-119, 111 Stat 2440).

Funding Availability

    Approximately $17 million is available for federal assistance. A 
small amount of additional funds that has been deobligated from grants 
awarded in previous fiscal years may also be available for Fiscal Year 
1998 grants. Based on past experience, NTIA expects this year's grant 
round to be highly competitive. In Fiscal Year 1997, NTIA received more 
than 900 applications collectively requesting $354 million in grant 
funds. From these applications, the Department of Commerce announced 55 
TIIAP awards totaling $20.9 million in federal funds.
    Based on previous grant rounds, TIIAP anticipates that the average 
size of a grant award will be approximately $350,000. An applicant may 
request up to $750,000 in total federal support over a period of up to 
three years.

Eligible Organizations

    State, local, and tribal governments; colleges and universities; 
and non-profit entities are eligible to apply. Although individuals and 
for-profit organizations are not eligible to apply, they may 
participate as project partners.

Matching Funds Requirements

    Grant recipients under this program will be required to provide 
matching funds toward the total project cost. Applicants must document 
their capacity to provide matching funds. Matching funds may be in the 
form of cash or in-kind contributions. Grant funds under this program 
are usually released in direct proportion to local matching funds 
utilized and documented as having been expended. NTIA will provide up 
to 50 percent of the total project cost, unless the applicant can 
document extraordinary circumstances warranting a grant of up to 75 
percent. Federal funds (such as grants) generally may not be used as 
matching funds, except as provided by federal statute. If funds from a 
federal agency are to be used, the applicant should contact the federal 
agency that administers the funds in question and obtain documentation 
from that agency's Office of General Counsel to support the use of 
federal funds for matching purposes.

Universal Service Discounts

    On May 8, 1997, the Federal Communications Commission (FCC) 
released a Report and Order on Universal Service. Section 254(h) of the 
Communications Act of 1934 (the Act), also known as the Snowe-
Rockefeller-Exon-Kerrey Amendment, requires that schools, libraries, 
and public and non-profit rural health care providers receive access to 
telecommunications services at discounted rates. NTIA requires that all 
TIIAP awardees eligible for the discounts under section 254(h) of the 
Act apply for all available discounts prior to purchasing 
telecommunications services with grant funds. Neither federal funds nor 
matching funds may be used to cover costs that could be avoided through 
the use of available discounts. In addition, the discounts received 
through the Universal Service Fund may not be used as matching 
contributions.

Use of Program Income

    Applicants are advised that any program income generated by a 
proposed project is subject to special conditions. Anticipated program 
income

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must be documented appropriately in the project budget. In addition, 
should an application be funded, unanticipated program income must be 
reported to TIIAP and the budget for the project must be renegotiated 
to reflect receipt of this program income. Program income means gross 
income earned by the recipient that is either directly generated by a 
supported activity, or earned as a result of the award. In addition, 
federal regulations prohibit any recipient or subrecipient receiving 
federal funds from using equipment acquired with these funds to provide 
services to non-federal outside organizations for a fee that is less 
than private companies charge for equivalent services. This prohibition 
does not apply to services provided to outside organizations at no 
cost.

Policy on Sectarian Activities

    Applicants are advised that on December 22, 1995, NTIA issued a 
notice in the Federal Register on its policy with regard to sectarian 
activities. Under NTIA's policy, while religious activities cannot be 
the essential thrust of a grant, an application will not be ineligible 
where sectarian activities are only incidental or attenuated to the 
overall project purpose for which funding is requested. Applicants for 
whom this policy may be relevant should read the policy that was 
published in the Federal Register at 60 FR 66491, Dec. 22, 1995.

Completeness of Application

    TIIAP will initially review all applications to determine whether 
all required elements are present and clearly identifiable. The 
required elements are listed and described in the Guidelines for 
Preparing Applications--Fiscal Year 1998. Each of the required elements 
must be present and clearly identified. Failure to do so may result in 
rejection of the application.

Application Deadline

    As noted above, complete applications for the Fiscal Year 1998 
TIIAP grant program must be received by NTIA no later than 9:00 P.M. 
EST, March 12, 1998. Postmark date is not sufficient. Applications 
which have been provided to a delivery service on or before March 11, 
1998, with ``delivery guaranteed'' before 9:00 P.M. on March 12, 1998, 
will be accepted for review if the applicant can document that the 
application was provided to the delivery service with delivery to the 
address listed above guaranteed prior to the closing date and time. 
Applications will not be accepted via facsimile machine transmission or 
electronic mail. NTIA anticipates that it will take between four and 
six months to complete the review of applications and make final 
funding decisions.

Scope of Proposed Project

    Projects funded by TIIAP must meet the Program Funding Priorities 
described in this notice. Projects must involve innovative approaches 
to the delivery of useful, practical services in real-world 
environments within the grant award period. In Fiscal Year 1998, TIIAP 
will not support the following kinds of projects:

One-Way Networks

    TIIAP will not support construction or augmentation of one-way 
networks, that is, networks which deliver information to a passive 
audience; all networks and services proposed for TIIAP support must be 
interactive.2 For example, TIIAP will not fund one-way 
broadcast systems, tape duplication and/or delivery projects, or any 
project which does not permit the end user in some fashion to select 
the information he or she will receive.
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    \2\ ``Interactivity'' is defined as the capacity of a 
communications system to allow end users to communicate directly 
with other users, either in real time (as in a video teleconference) 
or on a store-and-forward basis (as with electronic mail), or to 
seek and gain access to information on an on-demand basis, as 
opposed to a broadcast basis.
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Single-Organization Projects

    TIIAP will not support projects whose primary emphasis is on the 
internal communications needs of a single organization, even if the 
organization may have a considerable number of offices in different 
cities or regions of the country. For example, TIIAP will not consider 
projects that create or expand Local Area Networks or internal e-mail 
systems whose end users are principally, or exclusively, staff members 
of a single organization. However, TIIAP will support applications that 
extend communications among multiple organizations and agencies within 
a governmental jurisdiction. Projects should, to the maximum degree 
feasible, include appropriate partnerships,3 with plans for 
inter-organizational communications among the partners.
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    \3\ A ``partner'' is defined as an organization that supplies 
cash or in kind resources and/or plays an active role in the 
planning and implementation of the project.
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Replacement or Upgrade of Existing Facilities

    TIIAP will not support any projects whose purpose is to upgrade or 
replace existing systems, add workstations or servers to existing 
networks, or complete the installation of a network.
    In addition, NTIA will not support projects whose primary purpose 
is to develop content, hardware, or software, or to provide training on 
the use of the information infrastructure.4 TIIAP will, 
however, support projects that include elements of content 
development,5 training, and hardware and software 
development, as long as they are integral to a broader project that 
will deploy and use information infrastructure to address community 
problems.
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    \4\ ``Information Infrastructure'' includes telecommunication 
networks, computers, other end-user devices, software, standards, 
and skills that collectively enable people to connect to each other 
and to a vast array of services and information resources.
    \5\ ``Content development'' refers to the creation of 
information resources, such as databases or World Wide Web sites, 
for the purpose of dissemination through one or more on-line 
services.
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Content Development Projects

    Many projects necessarily involve some modification or development 
of content. Therefore, TIIAP will support projects in which the 
creation or conversion of content is part of a larger effort to utilize 
information infrastructure technologies to address real-world problems. 
However, TIIAP will not support projects whose primary activity is to 
develop data resources, or in any other way produce information 
content. For example, TIIAP will not consider projects which are 
designed only to develop curriculum, create databases, convert existing 
paper-based information to a digital format, digitize existing graphics 
collections, or establish World Wide Web sites.

Hardware or Software Development Projects

    Some projects may require limited software development or the 
customization or modification of existing software or hardware in order 
to meet particular end-user requirements or to enable the exchange of 
information across networks. However, the creation of a software or 
hardware product cannot be a project's primary activity.

Training Projects

    TIIAP will not support projects whose primary activity is to 
provide training in the use of information infrastructure technology. 
TIIAP does consider training to be an essential aspect of most 
implementation projects; therefore, a training component is, in most 
cases, a necessity. However, TIIAP will not support projects which 
propose nothing more than instruction on software

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applications, Internet use, or other use of information infrastructure.

Program Funding Priorities

    NTIA is committed to supporting innovative and exemplary projects 
that can serve as models for using information infrastructure in the 
public and non-profit sectors and thereby contribute to the development 
of an advanced National Information Infrastructure (NII).6 
NTIA believes that every project supported under TIIAP should be a 
nationally significant demonstration of how telecommunications and 
information technologies can be used to extend valuable services and 
opportunities to all Americans, especially the underserved. Underserved 
refers to individuals and communities that are subject to barriers that 
limit or prevent their access to the benefits of information 
infrastructure technologies and services. In terms of information 
infrastructure, these barriers may be technological, geographic, 
economic, physical, linguistic, or cultural. For example, a rural 
community may be physically isolated from circuits adequate to allow 
for data access; inner city neighborhoods may contain large numbers of 
potential end users for whom ownership of computer hardware is 
unlikely; or individuals with disabilities may have the need for 
different types of interfaces when manipulating hardware and software.
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    \6\ The National Information Infrastructure (NII) is a federal 
policy initiative to facilitate and accelerate the development and 
utilization of the nation's information infrastructure. The 
Administration envisions the NII as a seamless web of communications 
networks, computers, databases, and consumer electronics that will 
put vast amounts of information at users' fingertips. For more 
information on various aspects of the NII initiative, see The 
National Information Infrastructure: Agenda for Action, 58 FR 49,025 
(September 21, 1993).
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    Each project should identify specific problems or needs in a 
community, use information infrastructure services and technologies to 
offer concrete solutions, and target measurable outcomes. TIIAP's 
emphasis is on the application of technology to meet the needs of end 
users, and not simply on the technology as an end in itself. In 
addition, the development of the NII depends upon the contribution of a 
wide variety of skills, ideas, and perspectives. Therefore, TIIAP-
supported projects should, to the greatest degree possible, reach out 
to all members of a community and catalyze partnerships to help erase 
the distinction between information ``haves'' and ``have-nots.''
    NTIA realizes that not every model will work equally well in every 
situation or region; therefore, TIIAP will continue to support a 
variety of model projects among different application areas, geographic 
regions, and underserved populations. However, as already noted, each 
application must be innovative in its application of technology. 
Innovation can be conceived broadly: it can involve the use of new or 
untested network technologies that extend end-user capabilities or 
enhance service delivery; an imaginative partnership or organizational 
model; a new application of proven technologies; a creative strategy 
for overcoming traditional barriers to access; or a new configuration 
of existing information resources. As a program with a national focus, 
TIIAP expects each project to offer potentially new and useful insights 
into the use of network technologies.
    Projects must also be exemplary in the sense that they serve as 
genuine models that can be emulated, replicated, or adapted to local 
conditions by other organizations and communities facing similar 
challenges. For this reason, many excellent projects proposed to TIIAP 
may not be considered competitive either because they (1) focus on a 
problem or issue that confronts only a single applicant organization; 
(2) can only be replicated at a prohibitively high cost; or (3) propose 
a conventional approach that, while new to the applicant, has been 
demonstrated or attempted in similar circumstances. Moreover, in order 
to add to the national understanding of how the NII can be used to 
benefit the public and facilitate widespread diffusion of lessons 
learned from TIIAP projects, each application must include a rigorous 
evaluation plan and effective documentation and dissemination 
strategies.
    In some previous fiscal years, TIIAP has supported planning 
projects whose primary goal was to develop strategies for the enhanced 
application of existing NII technologies, rather than for the actual 
deployment or use of information infrastructure. Due to the limited 
amount of funds available to the program, the emphasis for Fiscal Year 
1998 is on projects that deploy, use, and evaluate the use of 
information infrastructure applications. NTIA will, however, also 
consider allocating a limited amount of funds to support outstanding 
planning projects that explore potential uses of next generation 
network technologies in an application area. Applications for such 
projects will be evaluated against the same criteria applied to all 
other applications.
    In Fiscal Year 1998, TIIAP will support projects in five 
application areas: Community Networking; Education, Culture, and 
Lifelong Learning; Health; Public Safety; and Public Services. Each 
application will be reviewed with other applications in the same area. 
NTIA recognizes that many innovative projects cross the boundaries 
defined by these application areas and involve services and 
partnerships that combine different application areas. NTIA encourages 
the formation of such cross-cutting linkages.

Community Networking

    This area focuses on multi-purpose projects that enable a broad 
range of community residents and organizations to communicate, share 
information, promote community economic development, and participate in 
civic activities. Community Networking projects typically involve 
multiple stakeholder organizations that wish to link services, reduce 
duplicative record-keeping, simplify and/or expand end-user access to a 
variety of information resources, engage in initiatives that would not 
have been possible without networking technologies, or provide 
information across various application areas within a specific 
geographic region.
    Examples of Community Networking projects may include, but would 
not be limited to: community-wide information and communication 
services available to residents of a local community; projects enabling 
a diverse array of organizations to share information infrastructure 
and resources; and networks or information services that promote 
community or regional economic development.

Education, Culture, and Lifelong Learning

    Projects in this area seek to improve education and training for 
learners of all ages and provide cultural enrichment through the use of 
information infrastructure in both traditional and non-traditional 
settings.
    Examples of Education, Culture, and Lifelong Learning projects may 
include, but would not be limited to: projects that explore creative 
approaches to integrating computer-based learning and network resources 
in the classroom; projects that forge stronger links among educators, 
students, parents, and others in the community; projects linking 
workplaces and job-training sites to educational institutions; 
innovative distance learning networks providing educational, training, 
and literacy opportunities in remote areas; projects that enrich 
communities by delivering on-line informational, educational, and 
cultural services from public libraries,

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museums, and other cultural centers; and projects that allow users to 
collaborate in the creation of artistic works or participate actively 
in meaningful online cultural exchanges.

Health

    Projects in this area involve the use of information infrastructure 
in the delivery of health and home health care services and the 
performance of core public health functions.
    Examples of Health projects may include, but would not be limited 
to: systems that improve the care and treatment of patients in the home 
environment; telemedicine systems that offer new approaches to 
extending medical expertise to rural or underserved urban areas or non-
traditional settings such as schools; projects designed to improve 
communication between health care providers and patients and enable 
consumers to participate more actively in their health care; projects 
to improve treatment of patients in emergency situations and extend 
trauma care services beyond the emergency room; and networks or 
information services aimed at disease prevention and health promotion.

Public Safety

    Projects in this area will seek to increase the effectiveness of 
law enforcement agencies, emergency, rescue, and fire departments, or 
other entities involved in providing safety services that effectively 
respond to, prevent, or intervene in crises.
    Examples of Public Safety projects may include, but would not be 
limited to: projects that facilitate information exchange among public 
safety agencies located in a single or multiple geographic area to 
increase efficiency and share resources; projects that provide 
information in a timely manner to ``first-response officials,'' such as 
police officers, emergency medical technicians, and firefighters; 
projects that help public safety agencies provide community outreach 
services; projects that develop innovative ways to share scarce 
spectrum resources; and projects that aim to increase the safety and 
security of children and reduce domestic violence.

Public Services

    Projects in this area aim to improve the delivery of services to 
people or organizations with a range of social service needs. This area 
includes, for example, housing, child welfare, food assistance, 
employment counseling, and other services typically delivered by state, 
tribal, and local governments or by community-based non-profit 
organizations.
    Examples of Public Services projects may include, but would not be 
limited to: projects that use information technology creatively to 
promote self-sufficiency among individuals and families; networks that 
facilitate coordination and collaboration among public and/or 
community-based agencies; electronic information and referral services 
that provide information on a variety of community-based or government 
services; projects that make public agencies more accessible and 
responsive to community residents; electronic benefits transfer 
projects; projects that employ geographic information systems to study 
demographic or environmental trends and target community strategies; 
and projects that focus on the needs of special communities, such as 
individuals with disabilities.

Review Criteria

    Reviewers will review and rate each application using the following 
equally weighted criteria:

1. Project Purpose

    Each application will be judged on the overall purpose of the 
proposed project and its potential impact on a community. In defining 
the purpose of the project, applicants must (1) identify a specific 
problem(s) or need(s) within the community to be served; (2) propose a 
workable and achievable means of addressing the community's problem(s) 
employing information infrastructure services and technologies; and (3) 
identify anticipated outcomes that are both realistic and measurable. 
The project purpose must convincingly link the three major elements--
problem, solution, and outcomes--so that reviewers understand not only 
what the applicant proposes to do, but also (1) why the project needs 
to be done, (2) how the application will respond to the needs of 
targeted end users, and (3) how the community might be changed as a 
result of successful implementation of the project.

2. Significance

    Each application will be rated on the degree to which the proposed 
project demonstrates innovation and is exemplary.
    When rating the degree to which an application demonstrates 
innovation, reviewers will use their experience as experts in their 
respective fields to determine whether a proposed project introduces a 
unique or novel approach and extends the state-of-the-art in a given 
application area. As noted in the section on ``Program Funding 
Priorities,'' reviewers will assess innovation broadly, examining both 
the technology to be used and the application of technology in a 
particular setting, to serve a particular population, or to solve a 
particular problem. Reviewers will examine each project in a national 
context and ask what insight a proposed project will add to what is 
known about using network technologies in a given application area and 
how a project complements and/or improves upon other activities in 
their field.
    With respect to identifying exemplary projects, reviewers will 
assess the degree to which a project has the potential for widespread 
replication. Applicants should describe how the needs or problems they 
propose to address are common or of interest to other organizations and 
communities. Reviewers will also assess the degree to which a project 
can be easily duplicated by or adapted to other organizations and 
communities. Applicants should discuss why a project would be easy to 
replicate and what types of organizations would be interested in 
copying the project.

3. Project Feasibility

    Each application will be rated on the overall feasibility of the 
proposed project and its plan of implementation. In assessing project 
feasibility, reviewers will focus on the following issues: the 
technical approach; the qualifications of the applicant team; the 
proposed budget and implementation schedule; and the applicant's plan 
for sustaining the project beyond the grant period.
    The technical approach should be consistent with the vision of a 
nationwide, seamless, interactive network of networks and must 
therefore address issues of interoperability 7 and 
scalability.8 Applications must specify in detail how the 
proposed system would work, how it would operate with other systems, 
the technological alternatives that have been examined, and the plans 
for the maintenance and/or upgrading of the system. Applicants are 
expected to make use of existing infrastructure and commercially

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available telecommunications services, unless extraordinary 
circumstances require the construction of new network facilities.
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    \7\ ``Interoperability'' refers to the condition achieved among 
information and communication systems when information (i.e., data, 
voice, image, audio, or video) can be easily and cost-effectively 
shared across acquisition, transmission, and presentation 
technologies, equipment, and services.
    \8\ ``Scalability'' refers to the ability of a system to 
accommodate a significant growth in the size of the system (i.e., 
services provided, end users served) without the need for 
substantial redesign. A scalable approach that is demonstrated on a 
small scale can also be applied on a larger scale.
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    Applicants must describe the qualifications of the project team, 
including the applicant and its partners, to show that they have the 
resources, expertise, and experience necessary to undertake the project 
and complete it within the proposed period.
    Reviewers will analyze the budget in terms of clarity and cost-
effectiveness. The proposed budget must be appropriate to the tasks 
proposed and sufficiently detailed so that reviewers can easily 
understand the relationship of items in the budget to the project 
narrative. In addition to a clear and well-justified budget proposal, 
each application should contain a proposed implementation schedule that 
identifies major project tasks and milestones.
    Reviewers will also examine the potential viability of the proposed 
project beyond the grant period. Applicants should therefore present a 
credible plan, including a discussion of anticipated ongoing expenses 
and potential sources of non-federal funds, to sustain the project 
after completion of the grant. In evaluating the plan, reviewers will 
consider the economic circumstances of the community or communities to 
be served by the proposed project.

4. Community Involvement

    Each application will be rated on the overall level of community 
involvement in the development of the project and the implementation of 
the proposed project. Reviewers will pay particular attention to the 
partnerships involved, the strength and diversity of support for the 
project within the community, and the support for the project's end 
users.9
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    \9\ An ``end user'' is one who customarily employs or seeks 
access to, rather than provides, information infrastructure. An end 
user may be a consumer of information (e.g., a member of the public 
employing a touch-screen public access terminal); may be involved in 
an interactive communication with other end users; or may use 
information infrastructure to provide services to the public.
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    Community involvement must include the development of partnerships 
among unaffiliated organizations, from the public, non-profit, or 
private sectors, as an integral part of each project. Partnerships must 
be clearly defined, mutually beneficial, and the commitments (including 
both cash and in-kind contributions) well documented in the 
application. Partners are defined as organizations that supply cash or 
in-kind resources and/or play an active role in the planning and 
implementation of the project.
    Reviewers will examine the steps the applicant has taken to involve 
a wide variety of community stakeholders in the planning of the project 
and the plans for ongoing community involvement in the project. Each 
application should contain evidence of demand, from the community, the 
end users, and the potential beneficiaries, for the services proposed 
by the project.
    Reviewers will consider the degree of attention paid to the needs, 
skills, working conditions, and living environments of the targeted end 
users. Reviewers will also consider the extent to which applicants 
involve representatives from a broad range of potential users and 
consider the varying degrees of abilities of all end users, including 
individuals with disabilities.
    Plans for training end users, upgrading their skills, and building 
community awareness and knowledge of the project must be clearly 
delineated. The application should also include evidence of a 
significant degree of end-user involvement in the design and planning 
of projects. NTIA expects applicants to safeguard the privacy of the 
end users and beneficiaries 10 of the project. Where 
relevant, applications must address the privacy and confidentiality of 
user data. For example, an applicant proposing a project dealing with 
individually identifiable information (e.g., student grades, medical 
records, etc.) will be required to describe the technical and policy 
mechanisms to be used for protecting the confidentiality of such 
information and the privacy of the individuals involved.
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    \10\ Project beneficiaries are those individuals or 
organizations deriving benefits from a project's outcome(s). A 
project beneficiary may also, but not necessarily, be a project end 
user.
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5. Reducing Disparities

    Every project proposed to TIIAP should target underserved 
communities specifically and/or reach out to underserved groups within 
a broader community. Underserved refers to individuals and communities 
that are subject to barriers that limit or prevent their access to the 
benefits of information infrastructure and services. In terms of 
information infrastructure, these barriers may be technological, 
geographic, economic, physical, linguistic, or cultural. For example, a 
rural community may be geographically isolated from information 
resources and lack local technical expertise to help install and manage 
the network infrastructure; inner city neighborhoods may contain large 
numbers of potential end users who lack the financial resources to 
access the information infrastructure; or people with disabilities may 
need a variety of special hardware or software interfaces to facilitate 
their use of the information infrastructure.
    Each application will be rated according to the degree to which the 
proposed project will serve to reduce disparities in access to 
information infrastructure. Reviewers will assess each application by 
examining evidence of community need and the applicant's proposed 
strategies for overcoming traditional barriers to access. Disparities 
in access must be clearly described and supported by specific 
quantitative data. Beyond providing service to underserved communities, 
each application should also propose strategies for reaching out to 
targeted groups and for tailoring any services to their specific needs 
and circumstances. These strategies should reflect an understanding of 
why the barriers currently exist and a sensitivity to the learning 
mechanisms, attitudes, abilities, and customs of the community.

6. Evaluation, Documentation, and Dissemination

    Each application will be rated on the quality of its plans for 
evaluation, documentation, and dissemination and their potential to 
measure both the effectiveness and efficiency of the proposed 
solution(s) and the anticipated outcomes of the project. Applications 
must include the qualifications of any proposed evaluators and provide 
sufficient funds and resources to evaluate the project, document 
project activities, and disseminate project findings and lessons 
learned.
    First, each evaluation plan must include an evaluation design, an 
implementation plan for the evaluation, and a discussion of how 
resources will be allocated for evaluation (i.e., budget, staffing, and 
management). The evaluation design should address the evaluation 
questions; the methodological approach for answering the evaluation 
questions; how data will be collected; how the data will be analyzed; 
and how the evaluation findings will be reported and disseminated. The 
evaluation should be linked to the overall formulation of project goals 
and objectives; it should relate directly to the problem, solution, and 
anticipated outcomes identified in the ``Project Purpose'' section. 
Finally, the research questions and data collection plan should take 
into account each of the ``Review Criteria'' treated above.

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    Documentation includes the basic record keeping for a project that 
will be required for analysis of the data and for meaningful reporting 
about the project. However, documentation goes beyond data collection 
to include information relevant to project history. The documentation 
plan should enhance evaluation and aid in information dissemination 
about the project. This plan should detail the methods and procedures 
of documentation. Although relevant documentation will vary with 
program type and application area, documentation should include, for 
example, demographic and background information on the population(s) to 
be served, implementation barriers, characteristics and descriptions of 
project partners, external databases, activity logs, and outreach 
efforts. Documentation will be very useful in the preparation of 
quarterly and final reports.
    Applicants are also required to submit a plan for disseminating the 
knowledge gained as a result of implementing their projects. Such plans 
may include presentations at professional conferences, workshops, and 
symposia; hosting site visits and conferences; publications of findings 
in professional journals and World Wide Web sites; and other 
dissemination methods.

Selection Process

    NTIA will publish a notice in the Federal Register listing all 
applications received by TIIAP. Listing an application in such a notice 
merely acknowledges receipt of an application that will compete for 
funding with other applications. Publication does not preclude 
subsequent return or disapproval of the application, nor does it ensure 
that the application will be funded. The selecting process will last 
four to six months and involves four stages:
    (1) During the first stage, each eligible application will be 
reviewed by a panel of outside readers, who have demonstrated expertise 
in both the programmatic and technological aspects of the application. 
The review panels will evaluate applications according to the review 
criteria provided in this notice and make non-binding written 
recommendations to the program.
    (2) Upon completion of the external review process, program staff 
may analyze applications as necessary. Program staff analysis will be 
based on the degree to which a proposed project meets the program's 
funding scope as described in the section entitled ``Scope of Proposed 
Projects''; the eligibility of costs and matching funds included in an 
application's budget; 11 and the extent to which an 
application complements or duplicates projects previously funded or 
under consideration by NTIA or other federal programs. The analysis of 
program staff will be provided to the TIIAP Director in writing.
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    \11\  See discussion of ``Eligible Costs'' and ``Matching Funds 
Requirements'' in this notice.
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    The TIIAP Director then prepares and presents a slate of 
recommended grant awards to the Office of Telecommunications and 
Information Applications' (OTIA) 12 Associate Administrator 
for review and approval. The Director's recommendations and the 
Associate Administrator's review and approval will take into account 
the following selection factors:
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    \12\  The Office of Telecommunication and Information 
Applications is the division of the National Telecommunications and 
Information Administration that supervises NTIA's grant awards 
programs.
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    1. The evaluations of the outside reviewers;
    2. The analysis of program staff;
    3. The degree to which a proposed project meets the program's 
priorities as described in the section entitled ``Program Funding 
Priorities';
    4. The geographic distribution of the proposed grant awards;
    5. The variety of technologies and strategies employed by the 
proposed grant awards;
    6. The extent to which the proposed grant awards represent a 
reasonable distribution of funds across application areas;
    7. The promotion of access to and use of the information 
infrastructure by rural communities and other underserved groups;
    8. Avoidance of redundancy and conflicts with the initiatives of 
other federal agencies; and
    9. The availability of funds.
    (3) Upon approval by the OTIA Associate Administrator, the 
Director's recommendations will then be presented to the Selecting 
Official, the NTIA Administrator. The NTIA Administrator selects the 
applications to be negotiated for possible grant award taking into 
consideration the Director's recommendations and the degree to which 
the slate of applications, taken as a whole, satisfies the selection 
factors described above and the program's stated purposes as set forth 
in the section entitled ``Program Purposes.''
    (4) After applications have been selected in this manner, 
negotiations will take place between TIIAP staff and the applicant. 
These negotiations are intended to resolve any differences that exist 
between the applicant's original request and what TIIAP proposes to 
fund and, if necessary, to clarify items in the application. Not all 
applicants who are contacted for negotiation will necessarily receive a 
TIIAP award. Final selections made by the Administrator will be based 
upon the recommendations by the Director and the OTIA Associate 
Administrator and the degree to which the slate of applications, taken 
as a whole, satisfies the program's stated purposes as set forth in the 
section entitled ``Program Purposes,'' upon the conclusion of 
negotiations.

Eligible Costs

    Eligible Costs. Allowable costs incurred under approved projects 
shall be determined in accordance with applicable federal cost 
principles, i.e., OMB Circular A-21, A-87, A-122, or Appendix E of 45 
CFR part 74. If included in the approved project budget, TIIAP will 
allow costs for personnel, fringe benefits, computer hardware and 
software, other end-user equipment, telecommunication services and 
related equipment, consultants and other contractual services, travel, 
rental of office equipment, furniture and space, supplies, etc. that 
are reasonable and directly related to the project. Costs associated 
with the construction or major renovation of buildings are not 
eligible. While costs for the construction of new network facilities 
are eligible costs, applicants are expected to make use of existing 
infrastructure and commercially available telecommunications services. 
Only under extraordinary circumstances will the construction of new 
network facilities be approved. Costs of the professional services, 
such as instruction, counseling, or medical care, provided via a 
network supported through this program are not eligible.
    Note that costs that are ineligible for TIIAP support may not be 
included as part of the applicant's matching fund contribution. NTIA 
also requires that all TIIAP awardees eligible for the discounts under 
section 254(h) of the Communications Act of 1934 (the Act) apply for 
all available discounts prior to purchasing telecommunications services 
with grant funds. In addition, the discounts received through the 
Universal Service Fund may not be used as matching contributions.
    Indirect Costs. The total dollar amount of the indirect costs 
proposed in an application under this program must not exceed the 
indirect cost rate negotiated and approved by a cognizant federal 
agency or 100 percent of the total proposed direct costs dollar

[[Page 364]]

amount in the application, whichever is less.

Award Period

    Successful applicants will have between 12 and 36 months to 
complete their projects. While the completion time will vary depending 
on the complexity of the project, NTIA has found that most applicants 
require at least two years to complete and fully evaluate their 
projects. Accordingly, NTIA encourages applicants to propose projects 
lasting between two to three years.

Waiver Authority

    It is the general intent of NTIA not to waive any of the provisions 
set forth in this notice. However, under extraordinary circumstances 
and when it is in the best interest of the federal government, NTIA, 
upon its own initiative or when requested, may waive the provisions in 
this notice. Waivers may only be granted for requirements that are 
discretionary and not mandated by statute. Any request for a waiver 
must set forth the extraordinary circumstances for the request and be 
included in the application or sent to the address provided in the 
Addresses section above. NTIA will not consider a request to waive the 
application deadline for an application until the application has been 
received.

Other Information

Electronic Information

    Information about NTIA and TIIAP, including this document and the 
Guidelines for Preparing Applications--Fiscal Year 1998, can be 
retrieved electronically via the Internet using the World Wide Web.
Use http://www.ntia.doc.gov to reach the NTIA home page and follow 
directions to locating information about TIIAP. TIIAP can also be 
reached via electronic mail at [email protected].

Application Forms

     Standard Forms 424 (OMB Approval Number 0348-0044), Application 
for Federal Assistance; 424A (OMB Approval Number 0348-0043), Budget 
Information--Non-Construction Programs; and 424B (OMB Approval Number 
0348-0040), Assurances--Non-Construction Programs, (Rev 4-92), and 
other Department of Commerce forms shall be used in applying for 
financial assistance. These forms are included in the Guidelines for 
Preparing Applications--Fiscal Year 1998, which can be obtained by 
contacting NTIA by telephone, fax, or electronic mail, as described in 
the Addresses section above. TIIAP requests one original and five 
copies of the application. Applicants for whom the submission of five 
copies presents financial hardship may submit one original and two 
copies of the application. Notwithstanding any other provision of law, 
no person is required to respond to nor shall a person be subject to a 
penalty for failure to comply with a collection of information subject 
to the requirements of the Paperwork Reduction Act unless that 
collection of information displays a currently valid OMB control 
number. In addition, all applicants are required to submit a copy of 
their application to their state Single Point of Contact (SPOC) 
offices, if they have one. For information on contacting state SPOC 
offices, refer to the Guidelines for Preparing Applications--Fiscal 
Year 1998.
    Because of the high level of public interest in projects supported 
by TIIAP, the program anticipates receiving requests for copies of 
successful applications. Applicants are hereby notified that the 
applications they submit are subject to the Freedom of Information Act. 
To assist NTIA in making disclosure determinations, applicants may 
identify sensitive information and label it ``confidential.''

Type of Funding Instrument

    The funding instrument for awards under this program shall be a 
grant.

Federal Policies and Procedures

     Recipients and subrecipients are subject to all applicable federal 
laws and federal and Department of Commerce policies, regulations, and 
procedures applicable to federal financial assistance awards.

Pre-Award Activities

    If an applicant incurs any project costs prior to the project start 
date negotiated at the time the award is made, it does so solely at its 
own risk of not being reimbursed by the government. Applicants are 
hereby notified that, notwithstanding any oral or written assurance 
that they may have received, there is no obligation on the part of the 
Department of Commerce to cover pre-award costs.

No Obligation for Future Funding

    If an application is selected for funding, the Department of 
Commerce has no obligation to provide any additional future funding in 
connection with that award. Renewal of an award to increase funding or 
extend the period of performance is at the total discretion of the 
Department of Commerce.

Past Performance

    Unsatisfactory performance of an applicant under prior federal 
financial assistance awards may result in that applicant's proposal not 
being considered for funding.

Delinquent Federal Debts

    No award of federal funds shall be made to an applicant who has an 
outstanding delinquent federal debt until:
    1. The delinquent account is paid in full;
    2. A negotiated repayment schedule is established and at least one 
payment is received; or
    3. Other arrangements satisfactory to the Department of Commerce 
are made.

Purchase of American-Made Products

    Applicants are hereby notified that any equipment or products 
authorized to be purchased with funding provided under this program 
must be American-made to the maximum extent feasible.

Name Check Review

    All non-profit applicants are subject to a name check review 
process. Name checks are intended to reveal if any key individuals 
associated with the applicant have been convicted of or are presently 
facing criminal charges such as fraud, theft, perjury, or other matters 
that significantly reflect on the applicant's management, honesty, or 
financial integrity.

Primary Applicant Certifications

    All primary applicants must submit a completed Form CD-511, 
``Certifications Regarding Debarment, Suspension and Other 
Responsibility Matters; Drug-Free Workplace Requirements and 
Lobbying,'' and the following explanations are hereby provided:
    1. Nonprocurement Debarment and Suspension--Prospective 
participants (as defined at 15 CFR part 26, section 105) are subject to 
15 CFR part 26, ``Nonprocurement Debarment and Suspension'' and the 
related section of the certification form prescribed above applies;
    2. Drug-Free Workplace--Grantees (as defined at 15 CFR part 26, 
section 605) are subject to 15 CFR part 26, subpart F, ``Government 
wide Requirements for Drug-Free Workplace (Grants)'' and the related 
section of the certification form prescribed above applies;
    3. Anti-Lobbying--Persons (as defined at 15 CFR part 28, section 
105) are subject to the lobbying provisions of 31 U.S.C. 1352, 
``Limitation on use of appropriated funds to influence certain federal 
contracting and financial

[[Page 365]]

transactions,'' and the lobbying section of the certification form 
prescribed above applies to applications/bids for grants, cooperative 
agreements, and contracts for more than $100,000, and loans and loan 
guarantees for more than $150,000, or the single family maximum 
mortgage limit for affected programs, whichever is greater; and
    4. Anti-Lobbying Disclosure--Any applicant that has paid or will 
pay for lobbying in connection with a covered federal action, such as 
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, or the extension, continuation, renewal, amendment, or 
modification of any federal contract, grant, loan, or cooperative 
agreement using any funds must submit an SF-LLL, ``Disclosure of 
Lobbying Activities'' (OMB Control Number 0348-0046), as required under 
15 CFR part 28, Appendix B.

Lower Tier Certifications

    Recipients shall require applicants/bidders for subgrants, 
contracts, subcontracts, or other lower tier covered transactions at 
any tier under the award to submit, if applicable, a completed Form CD-
512, ``Certifications Regarding Debarment, Suspension, Ineligibility 
and Voluntary Exclusion--Lower Tier Covered Transactions and Lobbying'' 
and disclosure form SF-LLL, ``Disclosure of Lobbying Activities.'' Form 
CD-512 is intended for the use of recipients and should not be 
transmitted to DOC. SF-LLL submitted by any tier recipient or 
subrecipient should be submitted to DOC in accordance with the 
instructions contained in the award document.

False Statements

    A false statement on an application is grounds for denial or 
termination of funds and grounds for possible punishment by a fine or 
imprisonment as provided in 18 U.S.C. 1001.

Intergovernmental Review

    Applications under this program are subject to Executive Order 
12372, ``Intergovernmental Review of Federal Programs.'' It has been 
determined that this notice is a ``not significant'' rule under 
Executive Order 12866.
Larry Irving,
Assistant Secretary for Communications and Information.
[FR Doc. 98-41 Filed 1-2-98; 8:45 am]
BILLING CODE 3510-60-P