[Federal Register Volume 63, Number 105 (Tuesday, June 2, 1998)]
[Notices]
[Pages 30037-30039]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-14531]


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DEPARTMENT OF THE TREASURY

Community Development Financial Institutions Fund
[No. 981-0158]


Notice Inviting Applications to the Presidential Awards for 
Excellence in Microenterprise Development

AGENCY: Community Development Financial Institutions Fund, Treasury.

ACTION: Notice inviting applications.

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SUMMARY: The Presidential Awards for Excellence in Microenterprise 
Development (``Microenterprise Awards'') is a non-monetary awards 
program created as a result of one of the commitments made by the 
United States at the United Nations Fourth World Conference on Women 
held in Beijing, China in September 1995. As a key development finance 
initiative of the Administration, the Community Development Financial 
Institutions Fund (``Fund'') of the U.S. Department of the Treasury was 
selected to administer the Microenterprise Awards Program. The 
Community Development Banking and Financial Institutions Act of 1994 
(12 U.S.C. 4701 et seq.) created the Fund to promote economic 
revitalization and community development through investment in 
community development financial institutions. This Notice provides 
guidance on the Microenterprise Awards Program requirements, selection 
criteria and how to obtain an application packet.

DATES: Applications are currently being accepted by the Fund. The 
deadline for receipt of an application is 6 p.m. EDT, July 31, 1998. 
Applications received in the office of the Fund after that date and 
time will be returned to the sender. Applications sent electronically 
or by facsimile will not be accepted.

ADDRESSES: Applications shall be sent to: Awards Manager, the Community 
Development Financial Institutions Fund, U.S. Department of the 
Treasury, 601 Thirteenth Street, NW., Washington DC 20005.

FOR FURTHER INFORMATION CONTACT: Microenterprise Awards Program 
Manager, the Community Development Financial Institutions Fund, U.S. 
Department of the Treasury, 601 Thirteenth Street, NW., Suite 200 
South, Washington DC 20005, (202) 622-8662. (This is not a toll free 
number.) If you have any questions about this Notice or the application 
packet, you may call or write to the Fund at the above telephone number 
or address, or you may send questions via facsimile to (202) 622-7754. 
To request an application packet, please send by facsimile a written 
request which includes the name of the requester, the organization, 
mailing address, telephone number and facsimile number. Requests for an 
application packet should be sent by facsimile to (202) 622-7754.

SUPPLEMENTAL INFORMATION:

I. Background

    The Presidential Awards for Excellence in Microenterprise 
Development (``Microenterprise Awards'') were created to recognize the 
important and growing role of microenterprises within the economy of 
the United States. In the past decade, the number of microenterprises 
and Microentrepreneurs has grown significantly, as well as the number 
of community development organizations that have worked to facilitate 
the growth and development of this Microenterprise industry. A 
microenterprise is a sole proprietorship, partnership, family business 
or an incorporated entity that has no more than five employees, 
including the owner(s), does not generally have access to the 
commercial banking sector, and has use for and/or seeks a loan of 
$25,000 or less. The Microenterprise Awards reflect a national 
commitment to advance the role that microenterprise development plays 
in enhancing entrepreneurial opportunities for all Americans, 
particularly women, low income people, and others that have had 
difficulty gaining access to the financial services industry and the 
economic mainstream. By recognizing outstanding microenterprise 
development and support organizations, the Microenterprise Awards' 
mission is to advance an understanding of ``best practices'' in the 
field of microenterprise development and bring wider public attention 
to the important successes of microenterprise development in the United 
States. Awards are non-monetary and given annually. They are available 
in different categories designed to reflect the diverse activities, 
purposes and challenges faced by the microenterprise industry.

II. Definitions

    (a) Low Income means having an income of no more than 80 percent of 
the area median family income.
    (b) Microenterprise Development Organization (MDO) means a 
``practitioner'' organization that works directly with 
Microentrepreneurs and meets three tests, primary purpose, domestic 
program and program activities.
    (i) Primary Purpose. The organization must have a primary purpose 
of promoting Microenterprise development. An applicant will be 
considered to have such a primary purpose if it:
    (A) Has been in operation for at least two complete calendar or 
fiscal years;
    (B) Made at least one Micro Loan to a Microenterprise within the 
past 12-months; and
    (C) Has targeted its efforts principally to activities that support 
Microentrepreneurs. Such activity targeting may be evaluated by the 
number of Microentrepreneurs served, number of Micro Loans made, the 
total dollar amount of Micro Loans made, or other criteria deemed 
appropriate by the Fund. The primary purpose requirement will be 
applied to the applicant as a whole or an affiliate, division or a 
discrete program of a larger organization, as deemed appropriate by the 
Fund.
    (ii) Domestic Program. The organization must exclusively serve or 
have a program that exclusively serves

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individuals that are residents of the United States, including the 
District of Columbia, or any territory of the United States, the 
Commonwealth of Puerto Rico, Guam, American Samoa, the Trust 
Territories of the Pacific Islands, the Virgin Islands, and the 
Commonwealth of the Northern Mariana Islands.
    (iii) Program Activities. The organization must currently provide 
the following services to Microentrepreneurs:
    (A) Access to Micro Loans, directly or through a formal 
partnership, as evidenced by a written agreement or letter of 
understanding, with another organization; and
    (B) Access to training, counseling or technical assistance, 
directly or through a formal partnership, as evidenced by a written 
agreement or letter of understanding, with another organization. Such 
training, counseling or technical assistance must provide assistance to 
Microentrepreneurs for the purpose of enhancing business planning, 
marketing, management, financial management, or other aspects of 
developing a successful business.
    (c) Microenterprise Support Organization (MSO) means an entity that 
does not work directly with Microentrepreneurs but supports the efforts 
of MDOs through financial or technical assistance, research or other 
activities. An MSO shall either:
    (i) Provide financial or technical assistance directly to MDOs; or
    (ii) Make contributions indirectly to the field of MDOs through 
research or other activities that enhance the knowledge, capacity, or 
visibility of the Microenterprise field.
    Further, an MSO shall not provide services directly to 
Microentrepreneurs as its principal line of business.
    (d) Micro Loan means a loan made for business purposes to a 
Microentrepreneur in a principal amount which does not exceed $25,000. 
A loan for business purposes does not include a loan made for the 
purpose of the acquisition, construction, or rehabilitation of real 
estate.
    (e) Microenterprise means a sole proprietorship, partnership, 
family business, or an incorporated entity that has no more than five 
employees, including the owner(s), does not generally have access to 
the commercial banking sector, and has use for and/or seeks a loan of 
$25,000 or less.
    (f) Microentrepreneur means the owner of a Microenterprise or an 
individual seeking to establish a Microenterprise.
    (g) Poverty means the state or condition of being poor as defined 
by the U.S. Bureau of the Census.

III. Award Categories

    The Microenterprise Awards Program consists of five categories in 
which awards may be given. The award categories are intended to embrace 
the diverse activities and purposes of Microenterprise development and 
the key opportunities and challenges faced by the Microenterprise 
field. Up to two awards may be made in each award category. Applicants 
may apply under only one award category each year. The award categories 
are as follows:
    (a) Excellence in Providing Access to Capital. This award category 
recognizes MDOs that have achieved outstanding success in broadening 
the availability of credit to Microentrepreneurs through the provision 
of Micro Loans or Micro Loan guarantees;
    (b) Excellence in Developing Entrepreneurial Skills. This award 
category recognizes MDOs that have demonstrated effectiveness in 
building entrepreneurial skills through providing training, technical 
assistance or other skill development activities that help develop 
successful Microentrepreneurs;
    (c) Excellence in Poverty Alleviation. This award category 
recognizes MDOs that have developed effective and innovative strategies 
or methods of alleviating poverty and/or improving the well being of 
Low Income individuals through the development of Microentrepreneurs. 
(Applicants in this category need not work exclusively with Low Income 
clients. However, this category is intended to recognize programs that 
target a significant portion of their efforts to serve Low Income 
clients.);
    (d) Excellence in Program Innovation. This award category 
recognizes MDOs that best reflect a new level of development for the 
Microenterprise field and/or a new strategy for addressing a problem of 
significant concern to the Microenterprise field; and
    (e) Excellence in Public or Private Support for Microenterprise 
Development. This award category recognizes outstanding MSOs that have 
provided significant or innovative support to MDOs or the development 
of the Microenterprise field.

IV. Eligibility

    The eligibility requirements of the Microenterprise Awards are 
established by each award category. MDOs are eligible to apply under 
the following categories: Excellence in Providing Access to Capital; 
Excellence in Developing Entrepreneurial Skills; Excellence in Poverty 
Alleviation; and Excellence in Program Innovation. MSOs are eligible to 
apply under the Excellence in Public or Private Support for 
Microenterprise Development award category. If an applicant has 
previously received an award in a specific award category, such 
applicant is ineligible to apply for an award in the same category for 
a period of three years. (For example, a 1997 award winner in a 
category cannot apply for an award in that same category until the year 
2000.)

V. Selection Process and Criteria

    Winners of the Microenterprise Awards will be selected through a 
competitive application and review process. Each award category has a 
set of ``category specific'' criteria that will be used to evaluate the 
extent of an applicant's achievement of excellence. In addition, all 
applicants will be evaluated using ``organization'' criteria which will 
gauge their viability and overall condition. Successful applicants must 
demonstrate both qualitatively and quantitatively their effectiveness 
and/or excellence under both the category-specific and the organization 
selection criteria.
    The Microenterprise Awards application packet includes application 
forms and questions that are tailored to each award category. The 
category-specific criteria are summarized below:
    (a) Excellence in Providing Access to Capital: scope and scale; 
impact; program design effectiveness; quality; and sustainability.
    (b) Excellence in Developing Entrepreneurial Skills: scope and 
scale; impact; program design effectiveness; and creativity.
    (c) Excellence in Poverty Alleviation: scope and scale; impact; 
program design effectiveness; and extent of targeting.
    (d) Excellence in Program Innovation: scope and scale; impact; 
program design effectiveness; creativity; and relevance to the 
industry.
    (e) Excellence in Public or Private Support for Microenterprise 
Development: scope and scale; impact; program design effectiveness; 
creativity; and commitment.
    The ``organization'' criteria for the Excellence in Providing 
Access to Capital, Excellence in Developing Entrepreneurial Skills, 
Excellence in Poverty Alleviation, and Excellence in Program Innovation 
award categories are: financial health and organizational strength; 
program management and implementation; replicability; and leadership. 
The ``organization'' evaluation criteria for the Excellence in Public 
or Private Support for Microenterprise Development award category are 
program implementation, replicability, and leadership. The

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category specific and organization criteria are fully discussed in the 
application materials which can be obtained from the Fund.

    Authority: Pub. L. 103-325, 108 Stat. 2166, 2189 (12 U.S.C. 
4703); chapter X, Pub. L. 104-19, 109 Stat. 237 (12 U.S.C. 4703 
note).

    Dated: May 28, 1998.
Ellen Lazar,
Director, Community Development Financial Institutions Fund.
[FR Doc. 98-14531 Filed 6-1-98; 8:45 am]
BILLING CODE 4810-70-P