[Federal Register Volume 65, Number 39 (Monday, February 28, 2000)]
[Notices]
[Pages 10547-10562]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-4580]


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DEPARTMENT OF LABOR

Employment and Training Administration


Solicitation for Grant Applications (SGA) Job Training 
Partnership Act, Title III-B: Skills Shortages, Partnership Training/
System Building Demonstration Program

AGENCY: Employment and Training Administration, Labor.

ACTION: Notice of availability of funds and solicitation for grant 
applications (SGA).

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    This Notice Contains All of the Necessary Information and Forms 
Needed To Apply for Grant Funding.
SUMMARY: The U.S. Department of Labor (DOL), Employment and Training 
Administration (ETA) announces a competitive demonstration solicitation 
for grant applications (SGA) to respond to employers' identified skill 
shortages through the establishment or strengthening of regional 
consortia. Grants will be made to successful applicants which provide 
evidence of being positioned to plan and implement a successful 
strategy to respond to shortages of workers seeking employment with 
skills needed by specific employers in a regional labor market 
(including typical local commuting area). Successful applicants must 
also initiate a skill training design for preparing eligible dislocated 
workers, incumbent workers and new entrants into the workforce that 
will alleviate skill shortages within the region which the applicant 
represents and provide the necessary skill sets to those seeking new 
employment or reemployment.
    The funding for this program will be the demonstration authority of 
the Secretary's National Reserve Account appropriated for Title III-B 
of the Job Training Partnership Act (JTPA) of 1982, as amended, and 
administered in accordance with 29 CFR parts 95 and 97, as applicable.
    Applicants are also encouraged to be familiar with the provisions 
of the Workforce Investment Act of 1998 (WIA). As the Department moves 
toward implementation of WIA which becomes effective July 1, 2000, and 
for the next few years, it is anticipated that even greater emphasis 
will be placed on regional and unified planning and other initiatives 
to accommodate or address regional workforce development concerns. It 
is expected that the consortia established or strengthened as a result 
of the award of these demonstration grant funds will actively 
collaborate with the emerging structures of WIA implementation.
    The Department encourages interested applicants to consult with 
other on-going programs such as grantees funded by the June 1998 $7.7 
million dislocated worker technology demonstration and the June 1999 
$10 million manufacturing technology demonstration program. Information 
regarding these demonstrations may be found at http://www.doleta.gov. 
In addition, experiences gained through current regional initiatives 
may provide insight into developing a regional consortia approach to 
addressing workforce development needs and strategies.
    In addition to partnership-building activities to address skill 
shortages, the grants funded as a result of this SGA will support 
assessment of community employment needs (community audits), designing 
or adapting training curricula based upon specific ``just-in-time'' 
employer needs, and limited operational testing of a training design. 
Partnerships and systems for responding to skill shortages developed as 
a part of this demonstration will be expected to continue, and indeed 
improve and

[[Page 10548]]

expand, after the conclusion of this initiative.
    One objective of this demonstration initiative is to inform local 
workforce investment boards and chief elected officials in the 
development of policies that respond effectively to area employers' 
needs for skilled workers. Of particular interest to the Department are 
broad-based strategies that address such issues as shortages in 
technology, health care, and H-1B visa-identified occupations. 
Consortia developed in response to this solicitation could be 
appropriate for applicants to apply for skill training grants 
established under the American Competitiveness and Workforce 
Improvement Act of 1998 (ACWIA). Eligible applicants for the ACWIA 
grants are limited by statute to Private Industry Councils (PICs) 
established under JTPA Section 102, local Workforce Investment Boards 
(WIBs) under Section 117 of the Workforce Investment Act of 1998 (WIA), 
and consortia of PICs or WIBs. For this reason, WIB and/or PIC 
participation in activities conducted under these grants is a 
requirement to show satisfactory progress toward achieving the 
objectives of this demonstration program.

DATES: The closing date for receipt of the application is Thursday, 
March 30, 2000. Applications must be received by 4 p.m. eastern 
standard time. No exceptions to the mailing and hand-delivery 
conditions set forth in this notice will be granted. Applications that 
do not meet the conditions set forth in this notice will not be 
considered. Telefacsimile (FAX) applications will not be honored.

ADDRESSES: Applications must be mailed or hand-delivered to: U.S. 
Department of Labor, Employment and Training Administration, Division 
of Federal Assistance, Attention: B. Jai Johnson, Reference: SGA/DFA-
102; 200 Constitution Avenue, N.W., Room S-4203; Washington, DC 20210.
    Hand Delivered Proposals. If proposals are hand delivered, they 
must be received at the designated address by 4:00 p.m., Eastern 
Standard Time on Thursday, March 30, 2000. All overnight mail will be 
considered to be hand delivered and must be received at the designated 
place by the specified closing date and time. Telegraphed, e-mailed 
and/or faxed proposals will not be honored. Failure to adhere to the 
above instructions will be a basis for a determination of 
nonresponsiveness.
    Late Proposals. A proposal received at the designated office after 
the exact time specified for receipt will not be considered unless it 
is received before the award is made and it:
     Was sent by U.S. Postal Service registered or certified 
mail not later than the fifth (5th) calendar day before the closing 
date specified for receipt of applications (e.g., an offer submitted in 
response to a solicitation requiring receipt of applications by the 
20th of the month must be mailed by the 15th);
     Was sent by U.S. Postal Service Express Mail Next Day 
Service, Post Office to Addressee, not later than 5 p.m. at the place 
of mailing two working days prior to the deadline date specified for 
receipt of proposals in this SGA. The term ``working days'' excludes 
weekends and U.S. Federal holidays.
    The only acceptable evidence to establish the date of mailing of an 
application received after the deadline date for the receipt of 
proposals sent by the U.S. Postal Service registered or certified mail 
is the U.S. postmark on the envelope or wrapper affixed by the U.S. 
Postal Service and on the original receipt from the U.S. Postal 
Service. The term ``post marked'' means a printed, stamped, or 
otherwise placed impression (exclusive of a postage meter machine 
impression) that is readily identifiable without further action as 
having been supplied or affixed on the date of mailing by employees of 
the U.S. Postal Service.
    Withdrawal of Applications. Applications may be withdrawn by 
written notice or telegram (including mailgram) received at any time 
before an award is made. Applications may be withdrawn in person by the 
applicant or by an authorized representative thereof, if the 
representative's identity is made known and the representative signs a 
receipt for the proposal.

FOR FURTHER INFORMATION CONTACT: Questions/clarifications should be 
faxed to B. Jai Johnson, Grants Management Specialist, Division of 
Federal Assistance at (202) 219-8739 (this is not a toll free number). 
All inquiries should include the SGA/DFA-102 and contact name, fax and 
phone number. This solicitation will also be published on the Internet, 
on the Employment and Training Administration (ETA) Home Page at http://www.doleta.gov. Award notifications will also be published on the ETA 
Home Page.

SUPPLEMENTARY INFORMATION: ETA is soliciting proposals on a competitive 
basis for the conduct of partnership system-building activities to 
assist entities in developing the capacity to plan and implement 
regional skill shortage training strategies. It is envisioned that 
these entities will be multi-jurisdictional, and may well be multi-
State, serving a regional labor market area.
    This announcement consists of five (5) parts:
     Part I--Background Summary: describes the authorities, the 
purpose and the goals of the solicitation for this demonstration 
program;
     Part II--Eligible Applicants and Application Process: 
describes the capabilities of organizations authorized to apply for 
funds under this program as well as some examples of the types of 
organizations which will be considered and the partnerships they 
represent, the application process and requirements for submitting an 
application (deadlines);
     Part III--Statement of Work: contains the Statement of 
Work for the projects that will be funded under this demonstration 
initiative;
     Part IV--Independent Evaluation and Reporting 
Requirements: provides for the independent evaluation of the grants 
awarded for this demonstration and describes the reviews that will be 
conducted by DOL of each of the projects; and notes the requirements 
for reports to DOL and the independent evaluator; and
     Part V--Rating Criteria for Award and Selection Process: 
describes the selection process, including the criteria which will be 
used in reviewing and evaluating all applications received by DOL as a 
result of this solicitation.

See Appendix ``C'' for Definitions

Part I. Background

A. Authority

    Section 323(a)(6) of JTPA, as amended (29 U.S.C. 166(b)), 
authorizes the use for demonstration programs of funds reserved under 
section 302 of JTPA (29 U.S.C. 1652) and provided by the Secretary for 
that purpose under section 322 of JTPA (29 U.S.C. 1662a). In addition, 
the DOL FY 1999 Appropriations Act authorizes dislocated worker 
demonstration projects that provide assistance to new entrants in the 
workforce and incumbent workers.

B. Purpose

    The growth in the U.S. economy and the increasing global 
competition that has occurred throughout the 1990's has been 
accompanied by significant restructuring actions regarding the 
organization and performance of work in many industries. These actions 
have redefined the job performance requirements in these industries and 
have resulted in the dual effects of substantial numbers of worker 
layoffs

[[Page 10549]]

and of reported shortages of workers skilled in other areas.
    As a result, employers and employees alike are facing increasing 
challenges in their efforts to remain competitive. Increased 
competition, along with other factors such as reductions in the defense 
industry, relocation of facilities outside the United States, and 
technological advances in manufacturing processes, have resulted in 
significant reductions in the size of many employers' workforces. The 
increased adoption of technology has resulted in the realization that 
the skills of many workers are redundant and must be upgraded in order 
for them to be able to compete in the current economy and for them to 
be successful candidates for available jobs in the future. In an effort 
to encourage regional workforce investment leaders to address the 
challenge of keeping their citizens employed and competitive and 
ensuring the health of the businesses on which their community depends 
for its economic stability, this initiative will allow for the maximum 
flexibility in approaches to establishing and/or enhancing partnerships 
that will address skill shortages now and in the future.

Part II. Eligible Applicants and the Application Process

A. Eligible Applicants

    Any organization capable of fulfilling the terms and conditions of 
this solicitation may apply. Eligible organizations include the 
following, both individually and as part of a consortium: Private 
Industry Councils (PICs), local Workforce Investment Boards (WIBs) or 
consortia of PICs or WIBs; employers; business and trade associations; 
labor unions; post-secondary educational institutions including 
community colleges; economic development agencies, and private-sector 
led groups including community- and faith-based organizations 
addressing the needs of specific cultures, among others.
    Regional consortia may be interstate in composition to accommodate 
adequate coverage of a cohesive labor markets or regional communities, 
including typical commuting patterns. No minimum size for the 
geographic or labor market to be covered by this demonstration program 
has been established, and the smallest grants may cover single local 
workforce investment areas. A key goal of this initiative is to 
encourage regional approaches to cover the commuting area from which 
employers in the region draw or hire their employees.

B. Demonstrated Capacity

    Awards will be made to applicants that demonstrate to the 
satisfaction of the Department the capacity in conjunction with the 
local workforce investment system(s) (under the policy direction of the 
local board(s) and chief elected officials) and other partners to--
    1. Develop a collaborative, integrated regional approach for the 
involvement, design and implementation of a comprehensive skill 
shortage action plan. The basic design of the plan shall be 
sufficiently robust to respond to current and projected skill shortages 
in the region.
    2. Collect information on current (real time) local employer based 
skill needs and the availability of workers who possess such skills in 
the labor market and available training resources to meet the 
established or developed standards of the local employer or industry;
    3. Design a training strategy, that may include curricula, to 
respond to at least one specific skills shortage that currently exists 
in the region.
    4. Test the plan on a small scale, by implementing the training 
strategy developed and placing those trained in related employment that 
meets or exceeds the outcome goals of the grant; and
    5. Incorporate lessons learned into the local workforce investment 
system(s).

    Note: As discussed later in this SGA, these areas of expertise 
are not viewed or presented by the Department as discrete or 
sequential activities, but rather to delineate the expected capacity 
of any successful candidate's application for funding under this 
Solicitation.

C. Financial Management Capability

    The applicant must demonstrate to the satisfaction of the 
Department that it has the financial management capacity to receive 
federal funds in accordance with Sections 164 and 165 of the Job 
Training Partnership Act. A consortium organized for the purpose of 
responding to this SGA may designate one entity of the group as the 
fiscal agent to manage the funds in the event an award is granted.

D. Cooperation With DOL, Technical Assistance Contractor and the 
Independent Demonstration Evaluation Contractor

    An applicant must commit to sharing on-going information with DOL 
and its independent evaluators. The applicant must also agree to 
participate with the DOL technical assistance contractor in its 
progress assessments. As part of the acceptance of a grant award the 
applicant agrees to participate in conference calls during the course 
of the demonstration and attend and conduct workshops at conferences 
and other meetings to assist with further guidance throughout the 
workforce investment system, as necessary and appropriate. A reasonable 
amount of grant funds may be earmarked for this purpose.

E. Partnerships

    The establishment of creative partnership configurations that 
include representatives of employers with skill shortages and are 
broadly representative of community interest is strongly encouraged. It 
is highly recommended that applicants submit a statement (or chart) 
that shows how the actual or proposed configuration represents fully 
the community at large and how each partner adds value to the skill 
shortage assessment and planning process. Other federal partners, where 
present and appropriate, are suggested for inclusion in any consortium, 
such as the U.S. Department of Commerce Manufacturing Extension 
Program, Department of Housing and Urban Development neighborhood and 
community enhancement programs and others.

F. Support From Consortium Members

    The partnerships that are being established are an important part 
of any application. Each applicant is encouraged to include letters of 
support signed by proposed consortium members, including the PIC 
Chair(s) or the local WIB chair(s) (if a PIC or local board is not the 
applicant, or if the proposal covers a consortia of PICs or local 
boards). Consideration should be given to demonstrations of support 
from representatives of key groups who are likely to have a significant 
impact on the likely success of this project in the region. Grant-
funded consortium-building activities operating in the local workforce 
investment area should be viewed by the local board and chief elected 
officials as a mechanism to improve the capacity of the area to address 
skill shortages and to provide the types of training opportunities that 
result in improved outcomes for workers and an adequate supply of 
trained workers for employers.
    The application must also describe a preliminary agreement of key 
regional stakeholders (beyond the required parties described above) to 
those activities to be undertaken the course of operation described in 
the application, as well as a description of other organizations or 
individuals who are likely to be added to the list of collaborators, 
and what they are expected to contribute to the initiative.

[[Page 10550]]

Proposal Submission

    Applicants must submit four (4) copies of their proposal, with 
original signatures. The proposal must consist of two (2) distinct 
parts, Part I and Part II.
    Part I of the proposal shall contain the Standard Form (SF) 424, 
``Application for Federal Assistance'' (Appendix #A) and Budget Form 
(Appendix #B). The Federal Domestic Assistance Catalog number is 
17.246. Applicants shall indicate on the SF 424 the organization's IRS 
status, if applicable. According to the Lobbying disclosure Act of 
1995, section 18, an organization described in section 501(c)(4) of the 
Internal Revenue Code of 1986 which engages in lobbying activities 
shall not be eligible for the receipt of federal funds constituting an 
award, grant, or loan. The individual signing the (SF) 424 on behalf of 
the applicant must represent the responsible financial and 
administrative entity for a grant should that application result in an 
award.
    The budget (Appendix #B) shall include on separate pages a detailed 
breakout of each proposed budget line item found on the Budget 
Information Sheet, including detailed administrative costs. An 
explanation of how the budget costs were derived must be included. The 
Salaries line item shall be used to document the project staffing plan 
by providing a detailed listing of each staff position providing more 
than .05 FTE support to the project, by annual salary, number of months 
assigned to demonstration responsibilities, and FTE percentage to be 
charged to the grant. In addition, for the Contractual line item, list 
each of the planned contracts and the amount of the contract. Where a 
contract amount exceeds $75,000, a detailed backup budget to show how 
the amount of the contract was derived must be included. For each 
budget line item that includes funds or in-kind contributions from a 
source other than the grant funds, identify the source, the amount and 
in-kind contributions, including any restrictions that may apply to 
these funds.
    DOL will convene a two-day grantee orientation meeting in 
Washington, D. C. Attendance will be mandatory for all grantees for 
this demonstration program. We anticipate this meeting to be scheduled 
within 45 days of the award of grants to allow sufficient time to have 
all project managers present as well as other appropriate 
representatives of the regional consortia in attendance. Travel for two 
or three individuals to attend this meeting should be included in the 
grant budget.
    Part II must contain a technical proposal that demonstrates the 
applicant's capabilities in accordance with the Statement of Work 
contained in this document. The grant application is limited to 30 one-
sided, double-spaced pages on 8.5 x 11 inch paper with 1-inch margins 
which must include the following:

I. Executive summary--(1 page)
II. Application narrative technical proposal
III. Time line implementation plan and the appendix

Funding/Period of Performance

    It is anticipated that up to $10 million will be available for 
funding these demonstrations. It is expected that 15 to 25 awards will 
be made, depending upon the quality of the proposals received and the 
amount of funds requested and awarded. The maximum grant award will be 
$750,000.
    Twenty percent of the grant amount, up to a maximum of $100,000 , 
will be made available upon announcement of the grant award. The funds 
will be released in phases: (1) Planning for up to possibly 6 months; 
and, (2) implementation--this phase will only take place pending 
approval. The remaining grant funds will be made available based upon 
achievement of progress benchmarks consistent with the purposes of the 
Job Training Partnership Act, the Workforce Investment Act and this 
demonstration initiative. No option year funding will be available for 
this demonstration program. Future funding will be the responsibility 
of stakeholders, including employers, local Boards and other members of 
the community.
    The maximum duration of any project will be 24 months, beginning on 
the date of a signed award. This includes closeout time and preparation 
of the draft final report. Successful grantees will be expected to 
commence operations within 30 days of the award date. If the applicant 
anticipates that a period longer than the 30 days will be required 
prior to commencing operations, it should be stated in the application 
and provide an explanation for the expected delay.

Part III. Statement of Work

A. Background

    On January 12, 1999, during his summit on 21st Century Skills for 
21st Century jobs, Vice President Gore announced a major new skills 
shortage initiative to accomplish two purposes:

     To promote the creation of regional consortia to assess 
employers' need for skilled workers and workers' skills deficits, 
and
     To provide resources to established partnerships to 
provide technical skill training to incumbent and unemployed 
workers.

    Traditionally, overall tight labor markets and even skill shortages 
are good for workers in that they can lead to rising wages, improved 
working conditions, and new opportunities for workers and new labor 
market entrants. However, problematic regional or sectoral industry 
skills shortages--those that occur when there is imbalance between 
worker supply and demand for a persistent period of time--can mean that 
particular goods and services are not provided and that the economy is 
operating less efficiently than it could. At the microeconomic level, 
i.e., for individual employers, the inability to find an adequate 
supply of workers even after offering higher wages and better working 
conditions can cause a loss of business and profits.

B. Purpose

    This demonstration will support the creation of regional alliances 
for the development and implementation of skills training strategies 
focused on qualifying significant numbers of participants to work 
within the identified occupations at specific companies experiencing 
such shortages. This initiative acknowledges that communities and 
regions will be at different starting points in their responses to 
skill shortages. It is envisioned that this demonstration will be used 
to build a coalition of community-wide leaders to work with specific 
employers to identify skill shortages and then develop processes for 
ameliorating or eliminating them or to strengthen an existing 
partnership.
    A major challenge, then, becomes how does a local workforce 
investment system work with employers to identify the skills they need, 
develop the necessary ``just-in-time'' training to respond to the need, 
and outreach to the workers who are being laid off soon enough to 
acquire the skills needed for the jobs that employers have. Another 
challenge to the community is how to encourage individuals currently in 
the workforce to continually upgrade their skills (life-long learning) 
so that if a layoff occurs the transition to a new job can be quicker 
and smoother--a benefit to the economic well-being of the community and 
the economic security of the family.

C. Activities Conducted as Part of Demonstration Program

    There are four phases (or elements since they may run concurrently 
in some circumstances) in this initiative described below. Throughout 
the demonstration, it is expected that there

[[Page 10551]]

will be cooperation with and active collaboration and consultation with 
the regional workforce investment system(s). This means that if the 
region which is proposed to be covered by the application submitted in 
response to this solicitation covers more than one local area 
designated pursuant to JTPA or WIA, the cooperation and consultation 
must take place from the onset of the development of application with 
the appropriate representatives and organizations in each local area, 
and on a continuing basis as plans, policies and systems are developed 
and implemented under a funded project. If there are regional 
strategies such as those authorized under WIA Section 116(c) in place 
currently, DOL expects those relationships will be built upon for the 
purpose of this initiative.
1. Coalition Building
    The first phase or element of a project will be the development and 
solidification of the coalition of all the partners--including 
community businesses (and business organizations), labor organizations, 
educational institutions--into a functioning entity.
    Skill shortage assessment and planning is a dynamic process--
reflecting the changing nature of business demands and labor market 
supplies. It is therefore anticipated that the partnerships established 
under this rubric would be open-ended and invite additional members--in 
particular from private industry--as emerging needs are perceived or 
additional sectors of industry are considered for further strategic 
planning.
    A significant aspect of coalition building is the resources that 
partners can bring to the table and contribute to the partnership. DOL 
is not requiring a match for this competition. However, a major 
emphasis of this effort is to create entities and relationships which 
can sustain themselves once the partnership building grant has expired, 
and a key aspect of that sustainability will be the amount of 
resources--both cash and in kind--that can be generated by the 
participants in the partnership. Sustainability is an important 
consideration for the full implementation of the action plan, beyond 
the scope of this grant, that will be developed as part of this project 
and which is discussed immediately below.
2. Plan Development
    The second phase or element of the project will involve activities 
to assess specific employer skill needs and to measure the gaps between 
the skills needed by industry and the skills held by dislocated and 
incumbent workers in the region. The application must identify what is 
known regarding the skill shortage needs of the employers, the present 
skill needs of the workforce and the training resources available to 
meet these needs. The selection of the assessment tools necessary to 
add to the existing body of knowledge including data sources, survey 
instruments, interview protocols, etc., as well as measurement 
processes, is a key aspect of the development of a strategy to address 
skill shortages.
    The plan will enumerate the data sources that are used to support 
the statement of skill shortages. Coalitions are encouraged to research 
widely and be inclusive in utilization of data. Resources for general 
skill shortage information include data generated by the Bureau of 
Labor Statistics (BLS) (such as the Current Population Survey (CPS) and 
the Occupational Employment Statistics (OES) survey), by regional and 
local trade associations, and by national and regional business 
associations (such as the U.S. Chamber of Commerce). However, the 
action plan will also be required to deal with current and short term 
needs of local employers identified, in part, as a result of 
initiatives developed as a result of this demonstration program such as 
community audits, evaluated in the context of the skills of workers 
currently seeking reemployment or employment. Regional and local hiring 
patterns as provided by local industry and trade associations are also 
extremely valuable information in terms of any sustained skills 
shortage.
    An analysis of the data information developed will result in a 
formulation of a training strategy that will be agreed to and signed 
off by all of the partners in the coalition and signed off on by the 
local board(s) if it is not an active member of the coalition. The 
certification by the local board in the latter instance will attest 
that this proposed specific training strategy is not inconsistent with 
and does not conflict with the activities of the workforce investment 
system and does not constitute the development of a parallel workforce 
investment system. Activities that may be part of the action plan 
include the identification, design and/or adaptation of appropriate 
training curricula to meet the needs of skill shortage occupational 
areas or to reflect the employment demands of key regional businesses 
or industries.
3. Operational Testing and Assessment
    The third phase of the project (which may, in fact, occur 
concurrently with other phases or other elements) will be to test the 
plan and the training strategy by training eligible individuals 
described in this SGA in the skills identified as a result of the first 
two elements of this demonstration program. Thus, although planning and 
capacity/partnership building are the primary objectives, grantees will 
be required to test any new curricula they develop and, in a limited 
trial fashion, to implement the action plan that they formulate. The 
test is required to see if the strategy developed can be 
operationalized, and if not, what changes need to be made. This test 
should be conducted to work out whatever imperfections there are in the 
action plan, so that upon completion of this grant period, the 
partnership is prepared to successfully implement the action plan on a 
fully operational basis. Most of the training to be conducted in this 
test period, will be relatively of an intensive or compressed nature.
    a. Operational Activities. Applicants must describe training 
activities like those authorized under JTPA Sec. 314 which will be 
conducted as part of the testing under this demonstration. The 
description should include how and through what entity(ies) trainees 
will be outreached and selected; what entity will have operational 
responsibility for the training and case management activities; the 
expected outcomes (jobs) for the trainees, including wage goals. 
Because the application will likely not know what skill training will 
be provided as part of the demonstration, the description of the 
training activities to be funded as part of the test will at first need 
to be more conceptual. Information should describe how training 
providers will be selected; how curricula will be developed or 
modified; how eligible individuals will be identified or recruited; and 
the types of assessments (including employer assessments) that will be 
used to identify candidates who would be likely to be able to be 
trained in the identified skill.
    b. Participant Services. Three (3) categories of individuals who 
may be trained with any funds awarded as a result of this demonstration 
are eligible dislocated workers, incumbent workers and new entrants.
    The application will describe at what points during the operation 
of a demonstration the training is likely to occur. In other words, 
testing of a training concept or process is not limited to a period of 
time in any project that other ``phases'' or ``segments'' have been 
completed.
    Prior to the release of additional funds, the applicant must 
identify the entities responsible for the following:
     Determining eligibility,

[[Page 10552]]

     Selecting individuals for training or referral to 
employers participating in the demonstration for screening;
     Case management and other services (such as orientation to 
employer expectations, internships, supportive services, etc.,) that 
will be available to maximize the trainees' success in completing the 
training and
     Developing and filling job openings identified as part of 
the employers' participation in this demonstration.
     Addressing contingencies for trainees who encounter 
difficulties and for whom alternative reemployment strategies must be 
developed outside the demonstration.
     Developing opportunities for work-based training which may 
or may not be in conjunction with classroom training (if not held on 
site or not a type of contextual training). The application must 
discuss how will internships or other hands-on training will be made 
part of the curricula.
     Arranging for trainees to receive credit toward some kind 
of credential that provides evidence of accomplishment in the event a 
participant later changes jobs.
    Other categories of individuals may be served through processes 
developed under projects implemented as a result of this solicitation, 
using resources other than demonstration grant funds to support 
training expenses.
4. Internal Monitoring and Evaluation/Next Steps
a. Project Benchmarks
    A time line (appendix to the application) must be provided of 
implementation and project performance benchmarks covering the period 
of performance of the project. The monthly schedule of planned 
implementation activities and start-up events (including benchmarks 
such as completion of lease arrangements for space, selection of an 
employer or community advisory group, advisory group meetings, hiring 
of staff, completion of data collection survey, design of customer 
satisfaction measures, development of a participant selection policy, 
initiation of customer satisfaction activities for employers and 
participants).
b. Quantitative projections
    A chart indicating quarterly projections of cumulative expenditures 
should be included with the grant application. A chart providing 
planned participant activity levels--enrollments, assignment to 
training, entered employment (or retained employment) and 
terminations--will be required prior to the release of the balance of 
the grant funds. It is recognized that expenditure projections also 
relate to participant activity will be subject to change as the 
consortia has more data with which to plan.
    It is expected that there will be ongoing reports (at least 
quarterly, although monthly during the early stages of the project are 
recommended) by the demonstration project director to the consortia 
signatories. Further, it is expected that there will be sufficient 
opportunity to review decisions made and strategies implemented if 
circumstances change or initial project design proves to be 
unproductive or insufficiently productive to proceed further. These 
reports and an active interest on the part of the key leadership in the 
Region and the entities involved will serve as a progress review and 
oversight function to ensure continuous improvement of the strategy and 
its implementation.
    As indicated in the coalition building section and reemphasized 
here, part of this initiative also will be to explore the resources 
that the newly joined partners in the regional consortia can bring to 
the table. DOL is not imposing a matching requirement on this 
procurement. One of the key questions that has emerged with regard to 
this partnership initiative revolves around the issue of 
sustainability, i.e., how will these newly emerging partnerships keep 
themselves going once Federal funding abates? Clearly, one of the root 
factors in this area will be whether the partnership has managed to 
establish a viable financial base, as well as the leadership to ensure 
that the community can build a ``just-in-time'' response to the needs 
of the employers and the workers, and continually improve the systems 
to meet this long-term commitment. At the end of the grant period, the 
grantee will be expected to prepare an assessment of the activities 
undertaken as part of the project, in particular providing an 
assessment of whatever operational testing was carried out under the 
authority of the project. That assessment will comprise a portion of 
the final report for the project. This requirement is in addition to 
the evaluation report that will be prepared by the independent 
evaluator.

D. Outcome Goals

    Outcome goals for this demonstration program include, but are not 
limited to the:
    1. Formation of region skills alliances to collaborate in 
implementing integrated strategies in response to employer needs;
    2. Identification of ways to best respond to reported skill 
shortages;
    3. Testing the viability of conducting on-going community audits to 
help avoid future skill shortages and to assist in community- or 
regional-wide planning for adjusting to economic change;
    4. Development of a broad based consortium which will continue 
after the conclusion of this demonstration.
    5. Development of a process for collecting information and 
responding to employer needs which can be used by local workforce 
investment boards and chief elected officials as a basis for policy 
development for the local one stop system.
    6. Providing American workers the skills they need to access 
quality jobs that provide for economic self-sufficiency and long-term 
employability security.
    In addition, the operational phase(s) of the program should 
demonstrate connections between training provided to participants and 
the industries where participants are employed. Unless otherwise 
provided for in the grant, it is expected that 95% of the participants 
placed in jobs will find employment with those businesses or industries 
for which the training strategy is implemented. For dislocated workers, 
the wage replacement rate is expected to be 90% or better; for 
incumbent workers and new entrants, the wage rates will be consistent 
with requirements in the proposal, and any subsequent negotiations, 
taking into consideration each application's description of these 
populations that will be trained as part of any funded project.

E. Staffing

    Each grantee will be expected to hire a full-time project manager 
who will begin within 30 days of the grant award to ensure that an 
appropriate level of effort is committed to the success of the 
initiative. A tentative staffing plan should be provided listing each 
position with a brief description of the position and the percentage of 
time to be devoted to the demonstration project. The individual with 
primary accountability for the implementation of the demonstration 
should be identified, with the information provided as to where this 
key individual will be placed in the organizational structure and to 
whom he/she will report.

Part IV. Independent Evaluation and Reporting Requirements

    As part of the agreement for the receipt of funds under this 
solicitation, each Grantee is required to provide reports and documents 
as well as

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participate in evaluation and review activities described below. DOL 
will arrange for or provide technical assistance to grantees in 
establishing appropriate reporting and participant data collection 
methods and processes taking into account the applicant's project 
management plan. An effort will be made to accommodate and provide 
assistance to grantees to be able to complete all reporting 
electronically.

A. Independent Evaluation

    DOL will contract for an independent evaluator of all phases of 
projects funded under this Solicitation. The purpose of the evaluation 
is to inform the system on all phases of the demonstration program in 
order that others who subsequently establish such partnerships to 
address skill shortages may learn from grantees' experiences. Each 
Grantee is required to participate in this effort.

B. Quarterly Financial Reports

    Each grantee must submit to the Grant Officer's Technical 
Representative (GOTR) identified in each grant agreement within the 30 
days following the end of each quarter, three copies of a quarterly 
Financial Status Report (SF 269) until such time as all funds have been 
expended or the period of availability has expired.

C. Progress Reports

    The grantee must submit brief narrative progress reports. The 
reports will be submitted monthly during the early organizational and 
planning phase of the project and quarterly when additional funding has 
been released. These reports are due 15 days following the end of each 
reporting period during which the project is operational (funded). The 
quarters end March 31, June 30, September 30 and December 31.

D. Other Documents or Reports To Be Submitted to DOL

    1. The grantee must submit a copy of the signed partnership 
agreement upon completion of the agreement, or when modified 
thereafter. The agreement shall include a written statement of 
operating principles and procedures defining roles and decision-making 
processes for each member of the partnership, as appropriate, as well 
as the overall principles and procedures of the partnership. It must 
include the frequency of meetings and how the review and oversight 
function will be conducted.
    2. The grantee must submit a copy of the signed action plan upon 
completion of the plan, and when modified thereafter.
    3. Final Report. A draft final report which summarizes project 
activities and results of the demonstration shall be submitted no later 
than 15 days after the expiration date of the grant. The grantee's 
assessment of operational testing activities under the grant is to be 
included. The final report shall be submitted in 3 copies no later than 
60 days after the grant expiration date. It is expected that this 
report includes information on challenges to the system and how those 
challenges were overcome as well as what worked best and what did not 
work as well, or did not work at all.

Part V. Rating Criteria for Award and Selection Process

    A careful evaluation of applications will be made by a technical 
review panel who will evaluate the applications against the criteria 
listed in the SGA. The panel results are advisory in nature and not 
binding on the Grant Officer. The Government may elect to award grants 
with or without discussions with the offerors. In situations without 
discussions, an award will be based on the offeror's signature on the 
Standard Form (SF) 424, which constitutes a binding offer. The 
Government reserves the right to make awards under this section of the 
solicitation to ensure geographical balance. The Grant Officer will 
make final award decisions based upon what is most advantageous to the 
Federal Government in terms of technical quality, responsiveness to 
this Solicitation (including goals of the Department to be accomplished 
by this solicitation) and other factors.

Rating Criteria

A. Overall Statement of Problem and Objectives (5 points)

    A concise statement clearly setting forth the problem(s) to be 
addressed and the objectives for accomplishing the purposes of the 
grant.

B. Regional Characteristics (15 points)

    1. Region Description. The applicant must provide a clear statement 
describing the region or area that the partnership will encompass. The 
description must enumerate concisely the economic conditions of the 
region. Socioeconomic and demographic data may be used to buttress the 
discussion. Judicious use of relevant statistical information is 
encouraged. This must identify the characteristics that make this area 
a cohesive region.
    2. Employer Characteristics. A discussion of the general business 
environment, including some emphasis on small and medium-sized 
businesses, the characteristics of the major employers in the region 
and in particular, identification of those employers--both major and 
small and medium-sized--that have experienced skill shortages. The 
application should include a discussion of the nature of the skills 
shortages as presently known and the extent to which additional areas 
of information needed to develop a response strategy and action plan 
and what is the nature of those shortages.
    3. Identified Data Needs. The extent to which the applicant 
identified the additional information regarding the employer community 
necessary for the development of an action plan and training strategy.

C. Strength of the Consortium (15 points)

    1. Partners and Roles. The applicant should enumerate who the 
partners are in this endeavor and how they will link together-i.e., 
what role each will play. This may be presented in chart form. The 
Department is interested in a broad representation of organizations and 
entities that are identified as able to contribute to this effort to 
address reported employer skills shortages in a timely and responsive 
manner. The application must clearly differentiate between actual and 
prospective partners.
    2. Private Sector Involvement. This section should articulate ties 
to the private sector, including ties with small-and medium-sized 
businesses and small business federations and businesses with skill 
shortages. Provide in detail the role of the private sector-employers, 
employer associations and training providers (where appropriate) in 
developing the application.
    3. Resources provided by partners. A discussion of what resources, 
actual and leveraged, each partner will bring to the partnership. (This 
topic should also be discussed from a cost/dollar perspective, under 
the cost effectiveness criterion.) Although ETA has not imposed a 
matching requirement upon this procurement, applicants are strongly 
encouraged to enumerate in substantial detail exactly what assets the 
partners propose to contribute. Identify additional sources of support 
to be pursued if the grant is funded.
    4. Role of training institutions. The development of a training 
strategy to equip individuals in the Region with the skills to address 
the skill shortages identified is important to the outcomes of the 
overall demonstration. This training may be accomplished through 
customized training contracts or

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through the Individual Training Account mechanisms established by the 
local workforce investment systems. In selecting a training approach, 
applicants will need to consider the replicability of the approach for 
other workforce investment systems as well as the sustainability of the 
approach under the WIA program design developed in the local area. The 
rationale on which consideration of the selection process will take 
occur or the approach most likely to be selected should be discussed. 
Note: There is no particular approach that is favored by DOL. However, 
since the sustainability of the project will depend to some extent on 
the local or regional WIA program training designs, it will be 
important to recognize the philosophy of WIA training in developing the 
project's training rationale.
    5. Sustainability of the partnership and strategies. To be highly 
rated under this criterion, applicants must provide a detailed 
discussion of how the partnership will sustain itself once the Federal 
grant funding has expired. Clearly, establishing a strong resource base 
is a significant factor in resolving that question.

D. Prospective Target Population (20 points)

    1. Characteristics of the target population. The description of the 
characteristics of those individuals the plan envisions serving should 
be clear and sufficiently detailed to determine the potential 
participants' service needs. If the individuals to be served will be 
drawn from one eligible group of participants (by industry, working 
status, etc.) the application should so state and provide the rationale 
for that group's selection. Describe the extent to which target 
populations will be drawn from groups under represented in the targeted 
industries/occupations.
    2. Documentation of available participants. Documentation should be 
provided showing that a significant number of eligible incumbent and 
dislocated workers are available for participation within the project 
area.

E. Strategy and Service Plan (20 points)

    1. Collection and Data Analysis. The extent to which the applicant 
provides information about the approach to data collection and 
analysis, specifically citing rationale for methodology selected for 
data collection, responsibilities assigned regarding collection and 
analysis, and timeliness of data collection and analysis as it relates 
to development of an action plan and training strategy.
    2. Strategy. The extent to which the proposed strategy approach 
addresses:
    a. identification of the region or geographical area within the 
region to be served,
    b. the relationship of the employers' skill shortages and 
employment needs, including an assessment of the current workforce's 
skills in the skill shortages identified or confirmed as a result of 
the data collection and analysis, and
    c. the employment and training needs of the targeted population to 
assure that the required demonstration outcomes are achieved.
    3. Geographic, neighborhood or industry concentration. Applicants 
are strongly encouraged to include under represented communities and 
populations particularly those that may reside in Empowerment Zones and 
Enterprise Communities (EZ/ECs) in the region, or industries, and/or 
areas in the community or region that have been targeted for other 
assistance that together with funds from this initiative may result in 
sufficient concentration of resources to achieve even greater goals 
than those established for this demonstration.
    4. Participant Services. While this Solicitation envisions only 
limited operational testing of the action plan, it is expected that 
some participants will be served during the period of this start up 
grant. Applicants must describe with clarity the participant focus of 
projected activities (from outreach/recruitment, assessment, case 
management, and supportive services to job search and placement 
activities) that will emanate from the action plan. It is expected that 
the appropriate mix of services will be tailored to the characteristics 
of the target population.

F. Previous Experience and Management Plan (15 points)

    1. Previous individual staff experience and experience of partner 
organizations. Applicants should provide a detailed discussion of 
specific experience in the activities contemplated by the Solicitation. 
The kinds and quality of experience the regional skills alliance 
(including the applicant and other partners) has had in economic 
planning including the use of economic and demographic data to identify 
skill shortage occupations. The level and quality of experience the 
applicant and other partners have in curriculum planning and 
development. The quality of the experience the partners bring to the 
demonstration regarding occupational skill training.
    2. Staffing. The application should include resumes of key staff 
who will be expected to play a key role in the first six months of the 
project implementation. As noted above, it may well be that the 
individual staff members do not have substantive experience in 
partnership building activities. Therefore, it will be acceptable to 
demonstrate that the key staff has substantial background in economic 
planning and other activities (e.g., curriculum development) 
contemplated as part of the coalition building effort for this 
initiative.
    3. Management Plan. The application should include a management 
plan for how this grant will be administered. The structure under which 
the project will operate must be carefully described and must identify 
the lines of authority for accountability for the achievement of the 
project goals. The required time line will indicate the key benchmark 
achievements identified by the applicant and the timeframe for their 
accomplishment. It is recommended that the time line include such 
benchmarks as the selection and hiring of staff, finalization of an MOU 
with all demonstration project partners, selection of the methodology 
for gathering and analyzing necessary data to determine the 
occupational areas of skill shortages and employer needs, the 
identification of training needs and appropriate curricula, initial 
testing of training to meet employer skill shortage needs, formation of 
any subcommittees to focus on particular aspects of the demonstration 
activity, establishment of policies for the selection of participants 
and employers, approval of training strategy, assessment of customer 
satisfaction and assurance of continuous improvement efforts, and 
schedule for review of progress reports. This list is not meant to be 
inclusive, but rather to illustrate some activities to be accomplished 
that could serve as benchmarks for oversight review and for negotiation 
with DOL in determining the appropriate time for the release of the 
balance of demonstration grant funds.

G. Cost Effectiveness (10 points)

    Applicants will provide a detailed cost proposal including a 
detailed discussion of the expected cost effectiveness of their 
proposal. This discussion should be couched in terms of the 
reasonableness of the cost in relation to the activities planned, 
including such factors as the geographic area covered by the proposed 
project, the number and range of the partners, the operational testing 
of the action plan (in particular, training). Expenses should be 
identified that will be incurred in terms of establishing and/or 
strengthening the collaborative,

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cooperative partnership. The cost benefits of assessing community needs 
and curriculum development should also be addressed. Benefits can be 
described both qualitatively in terms of the value of established 
cooperative relationships and skills attained and quantitatively in 
terms of wage gains and cost savings resulting from collaborative 
efforts and activities.
    In view of the fact that there will be relatively little actual 
provision of services to individuals, proposals will have to discuss 
costs and benefits, to some extent, in terms of projected participants. 
This may, of necessity, involve a certain amount of hypothetical model 
building.
    However, it is anticipated that applicants would have a fully 
completed and tested action plan which is ready to be fully implemented 
upon completion of this grant, so that the model building could produce 
some excellent guide posts for the successful applicant to use in 
carrying out this grant.

    Signed in Washington, DC, this 22nd day of February, 2000.
Laura Cesario,
Grant Officer.

Appendix ``A''--Standard Form (SF) 424
Appendix ``B''--Budget Information Sheet
Appendix ``C''--Definitions

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