[Federal Register Volume 66, Number 52 (Friday, March 16, 2001)]
[Notices]
[Pages 15219-15223]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-6599]


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DEPARTMENT OF COMMERCE

National Institute of Standards and Technology

[Docket No. 000609171-1047-02]
RIN 0693-ZA38


Manufacturing Extension Partnership Program

AGENCY: National Institute of Standards and Technology (NIST), 
Commerce.

ACTION: Notice of availability of funds.

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SUMMARY: The National Institute of Standards and Technology invites 
proposals from qualified organizations for funding projects which 
provide manufacturing extension services to small- and medium-sized 
manufacturers in the United States. These projects correspond to the 
Manufacturing Technology Centers component of the Manufacturing 
Extension Partnership (MEP). Proposals are invited for the expansion of 
manufacturing extension service capacity within 5 discrete geographic 
areas in the United States. The first area encompasses the entirety of 
the state of Alaska. The second area encompasses the entirety of the 
state of Hawaii. The third area encompasses the entirety of the state 
of Arizona. The fourth area encompasses the entirety of the state of 
New Mexico. The fifth area encompasses the entirety of the state of 
Nevada. All organizations meeting the eligibility requirements provided 
herein are invited to submit proposals. This includes existing MEP 
manufacturing extension centers.
    Manufacturing extension centers must be affiliated with a U.S.-
based not-for-profit institution or organization. MEP interprets not-
for-profit organizations to include universities and state and local 
governments. As these states had previous MEP centers, applicants are 
required to provide 66\2/3\% or more of

[[Page 15220]]

the operating costs for providing these manufacturing extension 
services.

DATES: Proposals from qualified applicants must be received at the 
address below by no later than 5:00 p.m. Eastern Standard Time May 15, 
2001. Selection of awards will be made in June 2001.

ADDRESSES: Applicants must submit one signed original and three (3) 
copies of their proposal along with a Standard Form 424, 424-A, and 
424-B (Rev 7/97), Form CD-511 (Rev 7/91), and Form CD-346 to the 
National Institute of Standards and Technology, Manufacturing Extension 
Partnership, 100 Bureau Drive, Stop 4800, Building 301, Room C100, 
Gaithersburg, MD 20899-4800. Plainly mark on the outside of the package 
that it contains a manufacturing extension center proposal.

FOR FURTHER INFORMATION CONTACT: For information regarding this 
announcement, contact Margaret Phillips of the Manufacturing Extension 
Partnership by calling (301) 975-5020; or by mailing information 
requests to the National Institute of Standards and Technology, 
Manufacturing Extension Partnership, 100 Bureau Drive, Stop 4800, 
Building 301, Room C100, Gaithersburg, MD 20899-4800. Information 
packets, which include background materials on MEP, existing centers 
and the necessary application forms, should be requested via a one page 
fax sent to (301) 963-6556. Please include name, organization, mailing 
address, telephone number, and fax number on this request. Information 
is also available on-line at www.mep.nist.gov.

SUPPLEMENTARY INFORMATION:
    Catalog of Federal Domestic Assistance Name and Number: The catalog 
number for the award of Manufacturing Technology Centers funds in the 
Catalog of Federal Domestic Assistance is 11.611.

Background

    In accordance with the provisions of Section 5121 of the Omnibus 
Trade and Competitiveness Act of 1988 (Public Law 100-418), codified in 
15 U.S.C. Sec. 278k, and final rule, 15 CFR 290, published September 
17, 1990, and the amendment published May 2, 1994, NIST will provide 
assistance for the creation and support of manufacturing extension 
centers. The objective of these centers is to enhance productivity, 
technological performance, and strengthen the global competitiveness of 
small- and medium-sized U.S.-based manufacturing firms.
    These manufacturing extension centers will become part of the MEP 
national system of extension service providers. Currently, the MEP 
national system consists of over 400 centers and field offices located 
throughout the United States and Puerto Rico. Information regarding MEP 
and these centers is provided in the information packet that can be 
obtained as explained above or on-line at www.mep.nist.gov.

Funding Availability

    It is anticipated that approximately $4.3 million will be available 
to support manufacturing extension centers under this program. The 
funding level for individual awards is not prescribed. The funding 
requested by the applicant should be directly related to the level of 
activity of the center, which is function of the number of 
manufacturers in the designated service region, and to the availability 
of applicant-provided cash and in-kind contributions to be used as cost 
share.

Invitation for Proposals

    Proposals must be received at the address listed above by May 15, 
2001.

Award Period

    The projects awarded under this program will have a budget and 
performance period of one year. These projects may be renewable on an 
annual basis subject to the review requirements described in 15 CFR 
290.8. Renewal of these projects shall be at the sole discretion of 
NIST and shall be based upon satisfactory performance, priority of the 
need for the service, existing legislative authority, and availability 
of funds. Although the MEP regulation (15 CFR part 290) indicates that 
Centers are not eligible for MEP funding after six years, this 
requirement is no longer in effect. Public Law 105-239 amended the 
MEP's organic legislation to authorize MEP to fund Centers for more 
than six years under specified circumstances.

Cost Share Requirements

    A cost sharing contribution from the applicant is required. The 
applicant must provide 66\2/3\% or more of the total capital, operating 
and maintenance costs for the center, as all of these states have had 
previously existing MEP centers. The applicant's share of the center 
expenses may include cash and in-kind contributions. However, at least 
50% of the applicant's total cost share (cash plus in-kind) must be in 
cash. The source of the cost share, both cash and in-kind, must be 
documented in the budget submitted in the proposal.
    In all cases, a contribution will only be treated as cash cost 
share if the center director has suitable authority and discretion to 
control its expenditure. Acceptable cash cost share, which must come 
from non-federal sources, includes:

--Dollar contributions from state, county, city, industrial or other 
sources
--Income from fees charged for services performed
--Revenue from licensing, royalties, dividends, and capital gains
--Contributions of full-time personnel from other organizations
--Other contributions as approved by NIST

    To qualify as in-kind cost share, the claimed items must be 
directly related to the tasks to be accomplished and must be utilized 
solely for the center activities, or the cost share must be prorated 
based upon the percentage of time they are used for these activities. 
Acceptable in-kind cost share includes:

--Contributions of full-time personnel for which the center director 
lacks suitable authority and discretion to qualify as cash cost share
--Contributions of part-time personnel from other organizations
--Contributions of equipment, software, rental value of office, 
laboratory or other space
--Other contributions as approved by NIST

    In addition, recipients are required to comply with the regulations 
found at 15 CFR 14.23.

Proposal Content

    The proposal must, at a minimum, include the following:
    A. An executive summary of the proposed project, consistent with 
the Evaluation Criteria stated in this notice.
    B. A description of the proposed project, sufficient to permit 
evaluation of the proposal, in accordance with the proposal Evaluation 
Criteria stated in this notice.
    C. A detailed budget for the proposed project which breaks out all 
expenses for year 1 of operation and identifies all sources of funds to 
pay these expenses.
    D. A budget outline for annual costs and sources of funds for 
potential years 2 through 5 and beyond. It is expected, especially for 
newly created centers, that year one costs are lower because of a ramp-
up of operations from start-up to the point where the center is fully 
operational and services are being provided. If such a ramp-up of 
operations is to occur, this should be reflected in the budget outline 
for years 2 through 5 and beyond. A detailed budget and budget 
narrative will be required prior to each of years 2 
through 5.

[[Page 15221]]

    E. A description of the qualifications of key personnel who will be 
assigned to work on the proposed project.
    F. A statement of work that discusses the specific tasks to be 
carried out, including a schedule of measurabale events and milestones.
    G. A Standard Form 424, 424-A, and 424-B (Rev 7/97) prescribed by 
15 CFR Part 14 (OMB Circular A-110), Form CD-511, Certification 
Regarding Debarment, Suspension and Other Responsibility Matters; Drug-
Free Workplace Requirements and Lobbying, and Form CD-346, Applicant 
For Funding Assistance/Name Check. The SF 424 and CD series of forms 
will not be considered part of the page count of the proposal.
    In addition, the proposal must contain the requirements identified 
in 15 CFR 290.5(a)(3), which are:
    A. A plan for the allocation of intellectual property rights 
associated with any invention or copyright which may result from the 
involvement in the Center's technology transfer or research activities 
consistent with the conditions of 15 CFR 290.9.
    B. A statement which provides adequate assurances that the host 
organization will contribute the required cost share. (Although the MEP 
regulation, 15 CFR 290.5(a)(3)(ii), states that applicants should 
provide evidence that the proposed Center will be self-supporting after 
six years, this requirement is no longer in effect, as indicated 
above.)
    C. A statement describing linkages to industry, government, and 
educational organizations within its service region.
    D. A statement defining the initial service region including a 
statement of the constituency to be served and the level of service to 
be provided, as well as outyear plans.
    E. A statement agreeing to focus the mission of the Center on 
technology transfer activities and not to exclude companies based on 
state boundaries.
    F. A proposed plan for the annual evaluation of the success of the 
Center by the Program, including appropriate criteria for 
consideration, and weighting of those criteria.
    G. A plan to focus the Center's technology emphasis on areas 
consistent with NIST technology research programs and organizational 
expertise.
    H. A description of the planned Center sufficient to permit NIST to 
evaluate the proposal in accordance with section 290.6 of the MEP 
regulations.

Proposal Format

    The proposal must not exceed 25 typewritten pages in length. The 
proposal must contain both technical and cost information. The proposal 
page count shall include every page, including pages that contain 
words, table of contents, executive summary, management information and 
qualifications, resumes, figures, tables, and pictures. All proposals 
shall be printed such that pages are single-sided, with no more than 
fifty-five (55) lines per page. Use 21.6 x 27.9 cm (8\1/2\" x 11") 
paper or A4 metric paper. Use an easy-to-read font of not more than 
about 5 characters per cm (fixed pitch font of 12 or fewer characters 
per inch or proportional font of point size 10 or larger). Smaller type 
may be used in figures and tables, but must be clearly legible. Margins 
on all sides (top, bottom, left and right) must be at least 2.5 cm. 
(1"). The applicant may submit a separately bound document of 
appendices containing other supporting information. The proposal should 
be self-contained and not rely on the appendices for meeting criteria. 
Excess pages in the proposal will not be considered in the evaluation. 
Applicants must submit one signed original plus three (3) copies of the 
proposal.

Manufacturing Extension Centers

a. Project Objective

    The objective of the projects funded under this program is to 
provide manufacturing extension services to small- and medium-sized 
manufacturers in the United States. These services are provided through 
the coordinated efforts of a regionally-based manufacturing extension 
center and local technology resources. The management and operational 
structure of the manufacturing extension center is not prescribed, but 
should be based upon the characteristics of the manufacturers in the 
region and locally available resources. The center should include plans 
for integration into the MEP national system and linkages to 
appropriate national resources.
    The focus of the center is to provide those manufacturing extension 
services required by the small- and medium-sized manufacturers in their 
service using the most cost effective sources for those services. It is 
not the intent of this program that centers perform research and 
development.

b. Evaluation Criteria

    All required proposal will be evaluated and rated on the basis of 
the following criteria by an impartial review panel. Each proposal 
should address all four evaluation criteria, which are assigned equal 
weighting.
    (1) Identification of Target Firms in Proposed Region. Does the 
proposal define an appropriate service region with a large enough 
population of target firms of small- and medium-sized manufacturers 
that the applicant understands and can serve, and which is not 
presently served by an existing center?
    (i) Market Analysis. Demonstrated understanding of the service 
region's manufacturing base, including business size, industry types, 
product mix, and technology requirements.
    (ii) Geographical Location. Physical size, concentration of 
industry, and economic significance of the service region's 
manufacturing base. Geographical diversity of the centers will be a 
factor in evaluation of proposals; a proposal for a center located near 
an existing center may be considered only if the proposal is unusually 
strong and the population of manufacturers and the technology to be 
addressed justify it.
    (2) Technology Resources. Does the proposal assure strength in 
technical personnel and programmatic resources, full-time staff, 
facilities, equipment, and linkages to external sources of technology?
    (3) Technology Delivery Mechanisms. Does the proposal clearly and 
sharply define an effective methodology for delivering advanced 
manufacturing technology to small- and medium-sized manufacturers?
    (i) Linkages. Development of effective partnerships or linkages to 
third parties such as industry, universities, nonprofit economic 
organizations, and state governments who will amplify the center's 
technology delivery to reach a large number of clients in its service 
region.
    (ii) Program Leverage. Provision of an effective strategy to 
amplify the center's technology delivery approaches to achieve the 
proposed objectives as described in 15 CFR 290.3(e).
    (4) Management and Financial Plan. Does the proposal define a 
management structure and assure management personnel to carry out 
development and operation of an effective center?
    (i) Organizational Structure. Completeness and appropriateness of 
the organizational structure, and its focus on the mission of the 
center. Assurance of full-time top management of the center.
    (ii Program Management. Effectiveness of the planned methodology or 
program management.
    (iii) Internal Evaluation. Effectiveness of the planned continuous 
internal evaluation of program activities.

[[Page 15222]]

    (iv) Plans for Financial Matching. Demonstrated stability and 
duration of the applicants funding commitments as well as the 
percentage of operating and capital costs guaranteed by the applicant. 
Identification of matching fund sources and the general terms of the 
funding commitments.
    (v) Budget. Suitability and focus of the applicant's detailed one-
year budget and budget outline for years 2-5 and beyond.

Eligibility Criteria

     Eligible applicants for these projects must be affiliated 
with a non-profit institution or organization and may be consortia of 
non-profits institutions.
     The applicant must provide the necessary cost share as 
specified above.

Proposal Selection Process

    Proposal evaluation and selection will consist of four principal 
phases: proposal qualification, proposal review, site visits and award 
determination.

a. Proposal Qualification

    All proposals will be reviewed by NIST to assure compliance with 
the proposal content as described in 15 CFR 290.5 and other basic 
provisions of this notice. Proposals that satisfy these requirements 
will be designated as qualified proposals. Non-qualified proposals will 
not be evaluated and will be returned to the applicant.

b. Proposal Review

    NIST will appoint an evaluation panel, consisting of one non-
Federal Government employee and at least two Federal Government 
employees, to conduct an independent and objective review and 
evaluation of all qualified proposals in accordance with the evaluation 
criteria set forth in this notice. Based upon this review, the panel 
will deliberate, and each panelist will rank the proposals based on the 
scores in relation to the evaluation criteria, as a basis for selecting 
a group of finalists to be site visited.

c. Site Visits

    Finalists will be notified and a day, time, and location for a site 
visit will be established. The panel will review finalists again on 
site, based on the evaluation criteria. Subsequently, the panel will 
deliberate again, and each panelist will rank the proposals again by 
assigning numeric scores based on the evaluation criteria, assessing 
equal weight to each of the four criteria. Based upon these rank 
scores, the panel will submit recommendations to the Director of NIST, 
or a designee, for final award recommendation to the NIST Grants 
Officer.

d. Award Determination

    The Director of NIST, or a designee, shall make final 
recommendation of whether an award should be made to the proposing 
organization based on a review of the panel's adherence to program 
objectives and program procedures. The final approval of the selected 
applications and award of cooperative agreements will be made by the 
NIST Grants Officer based on compliance with program requirements and 
whether the recommended applicants appear competently managed, 
responsible, and committed to achieving project objectives. The 
decision of the Grants Officer is final.

Paperwork Reduction Act

    The Standard Form 424 and other Standard Forms in this application 
kit are subject to the requirements of the Paperwork Reduction Act and 
have been approved by OMB under Control Numbers 0348-0043, 0348-0044, 
0038-0040, and 0348-0046. Proposals are subject to the requirements of 
the Paperwork Reduction Act and have been approved by OMB under Control 
Number 0693-0032.
    Notwithstanding any other provision of law, no person is required 
to respond to, nor shall any person be subject to a penalty for failure 
to comply with a collection, subject to the requirements of the 
Paperwork Reduction Act, unless that collection of information displays 
a currently valid OMB Control Number.

Additional Requirements

(a) Federal Policies and Procedures

    Recipients and sub-recipients are subject to all Federal laws and 
Federal and NIST policies, regulations, and procedures applicable to 
Federal financial assistance awards, including 15 CFR part 14, Uniform 
Administrative Requirements for Grants and Agreements with Institutions 
of Higher Education, Hospitals, Other Non-Profit, and Commercial 
Organizations.

(b) Indirect Costs

    Regardless of any approved indirect cost rate applicable to the 
award, the maximum amount of the indirect costs for which DOC will 
reimburse the recipient shall be the lesser of:
    (1) The Federal share of the total allocable indirect costs are 
based on the negotiated rate with the cognizant Federal agency as 
established by audit or negotiation; or
    (2) The line item amount for the Federal share of indirect costs 
dollar contained in the approved budget of the award.

(c) Pre-Award Activities.

    Applicants (or their institutions) who incur any costs prior to an 
award being made do so solely at their own risk of not being reimbursed 
by the Government. Notwithstanding any verbal assurance that may have 
been received, there is no obligation on the part of NIST to cover pre-
award costs.

(d) Delinquent Federal Debts

    No award of Federal funds shall be made to an applicant who has an 
outstanding delinquent Federal debt until either:
    (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 NIST are made.

(e) Past Performance

    Unsatisfactory performance under prior Federal awards may result in 
an application not being considered for funding.

(f) Name Check Review

    All non-profit applicants will be 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 
which significantly reflect on the applicant's management honesty or 
financial integrity. Form CD-346 must be completed for all personnel 
with key programmatic or fiduciary responsibilities.

(g) Primary Applicant Certification

    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 must be provided.
    (1) Non Procurement 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. Recipients (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

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(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 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 Disclosures. Any applicant that has paid or will 
pay for lobbying using any funds must submit an SF-LLL, ``Disclosure of 
Lobbying Activities,'' as required under 15 CFR part 28, Appendix B.

(h) 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 NIST. SF-LLL submitted by any tier recipient or sub-
recipient should be submitted to NIST in accordance with the 
instructions contained in the award document.

(i) 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.

(j) Purchase of American-Made Equipment and Products

    Applicants are hereby notified that they are encouraged, to the 
greatest extent practicable, to purchase American-made equipment and 
products with the funding provided under this program.

(k) North American Free Trade Agreement Patent Notification Procedures

    Pursuant to Executive Order 12889, the Department of Commerce (DoC) 
is required to notify the owner of any valid patent covering technology 
whenever the DoC or its financial assistance recipient, without making 
a patent search, knows (or has demonstrable reasonable grounds to know) 
that technology covered by a valid United States patent has been or 
will be used without a license from the owner. Applicants selected for 
awards under this program are required to comply with this executive 
order.

(l) Intergovernmental Review

    Applications under this program are not subject to the requirements 
of Executive Order 12372, ``Intergovernmental Review of Federal 
Programs''.

(m) No Obligation for Future Funding

    If an application is accepted for funding, DoC 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 NIST.

Program Execution

(a) Type of Funding Instrument

    The formal agreement between NIST and the applicant will be in the 
form of a cooperative agreement. Under this agreement, the NIST MEP 
will have substantial interactions with the applicant in planning and 
executing this project. This will include the following:

--Assisting in developing required plans
--Providing access to standard manufacturing extension and related 
tools
--Facilitating partnering with appropriate organizations both within 
and outside of the MEP national system
--Defining measures for evaluation of performance
--Direct involvement in helping to understand, define, and resolve 
problems in the center's operations

(b) Operating Plan

    All recipients of awards are required to submit an Operating Plan 
within ninety (90) days of the project start date. The Operating Plan 
is a more detailed statement of work based on project objectives and 
activities the applicant will undertake to achieve the objectives and 
incorporates recommendations provided by the evaluation panel and the 
NIST Program Officer. The Operating Plan must be reviewed and approved 
by NIST and will be incorporated into the cooperative agreement by 
amendment. Operating Plan guidelines will be distributed to award 
recipients.

(c) Project Reporting

    Quarterly reports will be submitted to the NIST Program Officer no 
later than thirty (30) days after the end of each calendar quarter of 
the award year. The information provided is used to characterize the 
projects, develop detailed case studies, and evaluate individual 
examples of outcomes. Quarterly reporting instructions will be 
distributed to award recipients.
    Executive Order Statement: This funding notice was determined to be 
``not significant'' for purposes of Executive Order 12866.

    Dated: March 8, 2001.
Harry Hertz,
Acting Director.
[FR Doc. 01-6599 Filed 3-15-01; 8:45 am]
BILLING CODE 3510-13-M