[Federal Register Volume 64, Number 86 (Wednesday, May 5, 1999)]
[Notices]
[Pages 24218-24220]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-11300]


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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, Department 
of Treasury

ACTION: Notice inviting applications.

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SUMMARY: The Presidential Awards for Excellence in Microenterprise 
Development (``Presidential Awards'') is a non-monetary awards program 
created as 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 the key community development finance initiative 
of the Administration, the Community Development Financial Institutions 
Fund (``Fund'') of the U.S. Department of Treasury was selected to 
administer the Presidential 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 Presidential Awards 
program requirements, selection criteria and how to obtain an 
application packet.

DATES: Applications may be submitted at any time after Wednesday, May 
5, 1999. The deadline for receipt of an application is 5:00 p.m. EST, 
August 3, 1999. 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: Community Development 
Financial Institutions Fund, U.S. Department of Treasury, 601 
Thirteenth Street, N.W., Suite 200 South, Washington DC 20005.

FOR FURTHER INFORMATION CONTACT: Awards Manager, Community Development 
Financial Institutions Fund, U.S. Department of Treasury, 601 
Thirteenth Street, N.W., 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.

SUPPLEMENTARY INFORMATION:

I. Background

    The Presidential Awards for Excellence in Microenterprise 
Development (``Presidential Awards'') are an annual non-monetary awards 
program 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, does not generally have access to 
the commercial banking sector, and can utilize a loan of $25,000 or 
less. The Presidential 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 Presidential 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 
available in different categories designed to reflect the diverse 
activities, purposes and challenges faced by the microenterprise 
industry. Each award category utilizes a rigorous set of evaluation 
criteria designed to recognize programs and organizations which define 
the cutting edge of the microenterprise industry.

II. Definitions

    (a) Low-Income means having an income that is at or below 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 principally targeted its efforts 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.

[[Page 24219]]

    (ii) Domestic Program. The organization must exclusively serve or 
have a program that exclusively serves individuals who 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 as its principal 
activity, but supports the efforts of MDOs through financial or 
technical assistance, research or other activities. An MSO must:
    (i) Have been in operation for at least two complete calendar or 
fiscal years; and
    (ii) Either provide financial or technical assistance directly to 
MDOs; or
    (iii) Make contributions indirectly to the microenterprise field 
through research or other activities that enhance the knowledge, 
capacity, or visibility of the field;
    (iv) Not provide services directly to Microentrepreneurs as its 
principal line of business; and
    (v) Serve MDOs (or others engaged in microenterprise development) 
that exclusively serve or have a program that exclusively serves 
individuals who 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.
    (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 five or fewer 
employees including the owner(s), does not generally have access to the 
commercial banking sector, and can utilize 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

    Five categories of Presidential Awards for Excellence in 
Microenterprise Development are available. 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. The Presidential Awards seek to 
advance the field of microenterprise development in the United States 
by recognizing excellent programs and sharing the lessons learned by 
these organizations with the microenterprise field, policy makers, 
funders, and other key partners. Up to two awards may be made in each 
award category. Applicants may apply under only one primary award 
category each year. The primary award categories are as follows: Access 
to Capital, Developing Entrepreneurial Skills, Poverty Alleviation, and 
Public or Private Support for Microenterprise Development. To apply for 
an award under one of the primary award categories, an applicant must 
complete the appropriate award category application contained in the 
application packet. Applicants under any one of the primary award 
categories may also elect to be considered for an award under the 
Program Innovation award category. The Program Innovation award 
category is considered a ``floating'' award that may be given to no 
more than two applicants in any one or more primary award categories. 
However, an applicant may only receive an award in one award category 
in a given year. Specifically, an applicant may not receive an award:
    (a) In more than one primary award category; or
    (b) In both a primary award category and the Program Innovation 
award category in the same year.
    To be considered for a Program Innovation award, each applicant 
should complete the Program Innovation portion of the primary award 
category application in which it is seeking an award. The following are 
descriptions of the primary award categories and the Program Innovation 
award category:
    (a) The Excellence in Providing Access to Capital award category 
recognizes MDOs that have achieved outstanding success in increasing 
the availability of credit to Microentrepreneurs through the provision 
of Micro Loans or Micro Loan guarantees.
    (b) The Excellence in Developing Entrepreneurial Skills award 
category recognizes MDOs that have demonstrated effectiveness in 
building entrepreneurial skills through the provision of training, 
technical assistance or other skill development activities that help 
develop successful Microentrepreneurs.
    (c) The Excellence in Poverty Alleviation 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) The Excellence in Public or Private Support for Microenterprise 
Development award category recognizes outstanding MSOs that have 
provided significant or innovative support to MDOs or to the 
development of the microenterprise field.
    (e) The Excellence in Program Innovation award category recognizes 
MDOs and MSOs that reflect the next level of development for the 
Microenterprise field and/or a new strategy for addressing a challenge, 
problem or issue of significant concern to the field.

IV. Eligibility

    The eligibility requirements of the Presidential Awards are 
established by each award category. MDOs are eligible for an award 
under the following categories: Access to Capital, Developing 
Entrepreneurial Skills, Poverty Alleviation, and Program Innovation. 
MSOs are eligible for an award under the following categories: Public 
or Private Support for Microenterprise Development and Program 
Innovation. If an applicant has previously received an award in a 
specific award category, such applicant is ineligible to apply for an 
award in the

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same category for a period of three years following the receipt of an 
award (for example, a 1998 award winner in a category cannot apply for 
an award in that same category until the year 2002). Departments, 
agencies or instrumentalities of the United States are not eligible to 
apply for a Presidential Award.

V. Selection Process and Criteria

    Winners of the Presidential Awards will be selected through a 
competitive application and review process. The Fund will select 
applicants to receive Presidential Awards, but will be assisted by a 
team of experts in the microenterprise field from both inside and 
outside the Federal Government. Each award category has a set of 
selection criteria that will be used to evaluate the extent of an 
applicant's achievement of excellence. Successful applicants must 
demonstrate both qualitatively and quantitatively their effectiveness 
and/or excellence under the selection criteria.
    The Presidential Awards application packet includes application 
forms and questions that are tailored to each primary award category. 
The following are the selection criteria for each award category:
    (a) The Excellence in Providing Access to Capital award selection 
criteria are: scope and scale, impact, program design effectiveness, 
quality, sustainability, financial health and organizational structure, 
adaptability, and leadership.
    (b) The Excellence in Developing Entrepreneurial Skills award 
selection criteria are: scope, scale, impact, program design 
effectiveness, financial health and organizational structure, 
adaptability, and leadership.
    (c) The Excellence in Poverty Alleviation award selection criteria 
are: scope and scale, impact, program design effectiveness, extent of 
targeting, financial health and organizational structure, adaptability, 
and leadership.
    (d) The Excellence in Public or Private Support for Microenterprise 
Development award selection criteria are: scope and scale, impact, 
program design effectiveness, commitment, financial health and 
organizational structure, adaptability, and leadership.
    (e) The Excellence in Program Innovation category specific criteria 
are: creativity and relevance to the industry.

    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: April 30, 1999
Maurice A. Jones,
Deputy Director for Policy and Programs, Community Development 
Financial Institutions Fund.
[FR Doc. 99-11300 Filed 5-4-99; 8:45 am]
BILLING CODE 4810-70-P