[Federal Register Volume 67, Number 101 (Friday, May 24, 2002)]
[Notices]
[Pages 36599-36606]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-13034]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Office of the Secretary, Assistant Secretary for Planning and 
Evaluation


Notice of Funding Availability for Policy and Research Grants 
(State Innovation Grants)

AGENCY: The Office of the Assistant Secretary for Planning and 
Evaluation (ASPE), HHS.

ACTION: Announcement of the availability of funds and request for 
applications from States for innovation grants.

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SUMMARY: ASPE invites state agencies to submit competitive grant 
applications for financial assistance in order to plan for, or 
implement, innovative approaches for the delivery of health and human 
services. This announcement has 2 tracks. Track 1 is for demonstration 
grants; track 2 is for planning grants. States may submit applications 
to either or both tracks. There is no limit on the number of 
applications that a state may submit.
    The Catalog of Federal Domestic Assistance Number: The CFDA number 
is 93.239.
    Closing Date: The closing date for submitting applications under 
this announcement is July 23, 2002. Please e-mail Brenda Benesch at 
[email protected] by June 13, 2002, to inform the government of 
your intent to submit an application. Please include the proposed title 
of the project and the name of the agency submitting the application. 
Please put ``intent to submit--track 1'' or ``intent to submit--track 
2'' in the subject line of your email. Providing notice of intent to 
submit is not a requirement for submitting an application. However, a 
notice of intent to submit will help the federal government in the 
planning for the review process.
    Mailing Address: Applications should be submitted to Michael J. 
Loewe, Deputy Grants Management Officer, Grants Management Branch, 
National Institute of Child Health and Human Development, U.S. 
Department of Health and Human Services, 6100 Executive Boulevard, Room 
8A01, Bethesda Maryland 20892-7510 (Regular Mail), Rockville Maryland 
20852 (Express Mail), Phone: (301) 435-6995. Administrative questions 
will be accepted and responded to up to ten working days prior to 
closing date of receipt of applications.
    You will receive e-mail confirmation to notify you that your 
application was received within 14 days of the closing date. If you do 
not receive confirmation within 14 days of the closing date, please 
contact: Michael J. Loewe at the address above.
    The printed Federal Register notice is the only official program 
announcement. Although reasonable efforts are taken to assure that the 
information on the ASPE World Wide Web Page is accurate and complete, 
it is provided for information only. The applicant bears sole 
responsibility to assure that the copy downloaded and/or printed from 
any other source is accurate and complete. Any amendments to this 
announcement will be published in the Federal Register as well as on 
the ASPE World Wide Web Pages at http://aspe.hhs.gov/funding.htm. We 
encourage applicants to check periodically to see if any amendments 
have been published. We will also post answers to questions that we 
receive about the announcement that are of general interest at the 
above address.

FOR FURTHER INFORMATION CONTACT: Administrative questions should be 
directed to the Michael Loewe at the National Institute of Child and 
Human Development (NICHD) at the address or phone number listed above. 
Technical

[[Page 36600]]

questions should be directed to Brenda Benesch, either by telephone 
(202-260-0382), fax (202-690-6562), e-mail ([email protected]) or 
in writing at the following address, Office of the Assistant Secretary 
for Planning and Evaluation, Department of Health and Human Services, 
200 Independence Avenue, SW., Room 450G, Hubert H. Humphrey Building, 
Washington, DC 20201. If you send your question(s) in writing, please 
call to confirm receipt. Technical questions will be accepted and 
responded to up to ten working days prior to the closing date of 
receipt of applications.

ADDRESSES: Application materials are included in this package and are 
also available from the ASPE World Wide Web site: http://aspe.hhs.gov/funding.htm or by calling Michael Loewe at (301) 435-6995.

SUPPLEMENTARY INFORMATION: This program announcement consists of four 
parts: Part I: Background--Legislative authority, Background 
information, Purpose, Technical assistance and process evaluation; Part 
II: Project and Applicant Eligibility--Eligible applicants, Available 
funds, Budget and project period, and Matching requirements; Part III: 
The Review Process--Intergovernmental review, Initial screening, and 
Competitive review and evaluation criteria; Part IV: The Application--
Application development, and Application submission, Disposition of 
applications, and Components of a complete application; Part V: 
Questions and Answers; and Part VI: Appendix.

Part I. Background

A. Legislative Authority

    This announcement is authorized by section 1110 of the Social 
Security Act (42 U.S.C. 1310) and section 301 of the Public Health 
Service Act and awards will be made from funds appropriated under the 
Departments of Labor, Health and Human Services, and Education, and 
Related Agencies Appropriations Act, 2002 (Pub. L. 107-116).

B. Background Information

    New approaches to integrating diverse funding streams, expanding 
services to new populations, or redesigned service delivery systems 
often emerge from innovations at the state or local level. Secretary 
Thompson initiated this grant program to stimulate states to develop 
new and creative approaches to program planning and health and human 
service delivery.
    As laboratories for innovation, states are uniquely positioned to 
develop approaches for providing health and human services more 
efficiently. This grant program will encourage such creativity. It will 
build on activities already taking place at the state and local levels 
to devise better coordinated systems and programs tailored to the needs 
of specific populations. There are a broad array of interesting models 
focusing on particular issues, such as enhancing gateways to services 
(e.g., schools); promoting family formation, responsible fatherhood, 
and responsible child-rearing in the context of marriage; improving 
outcomes for children and youth; facilitating the involvement of faith-
based and community-based groups in the delivery of health and social 
services; consumer-directed approaches to home and community-based 
long-term care services; and providing culturally competent services. 
These, and like models, could be considered.
    The grants will be administered by ASPE in conjunction with the 
National Institute of Child Health and Human Development. We will also 
facilitate information exchange among grantees, other States, and 
others interested in new and creative ways to deliver health and/or 
human services. This could be in the form of technical assistance, a 
conference, a website, and/or briefings.

C. Purpose

    This competitive grant program will allow selected States to design 
and/or demonstrate new models for delivering health care, long-term 
care, and/or human services to low-income adults, families, and 
children. We are interested in funding applicants that demonstrate 
their interest in implementing innovative ideas. The goals of this 
initiative are twofold: to increase the effectiveness of health and 
human services by fostering innovative approaches to service delivery; 
and to share information gained through this program with other state 
agencies and interested parties so that they may learn about, and 
potentially replicate, innovative approaches.
    There are two ``tracks'' under this announcement. Track 1 
applicants are expected to be those state agencies that are ready to 
implement proposed innovations or expand existing innovative 
strategies. Track 1 applicants likely will have innovative strategies 
developed and most or all aspects of the programs or services will have 
been piloted, if not fully implemented. Track 2 applicants are expected 
to be those state agencies that have innovative ideas, but need time 
for further planning to fully develop or finalize operational plans.
    We are particularly interested in multi-disciplinary projects that 
seek to better coordinate healthcare, long-term care, and human 
services systems and services. We encourage states to submit ideas of 
their own choosing, but we have noted some examples below and in the 
appendix. States are not required to use any of the suggested ideas.
    A. Streamlined Access to Health Care and/or Human Services and 
Benefits
    B. State Data Enhancements
    C. Comprehensive Support Services for Children and Families
    D. Long-Term Care Services and Resources
    By participating in this grant program, states will help to provide 
much-needed, credible information to government officials and others 
about how their programs affect families and children. HHS hopes that 
its sponsorship of this grant program will provide an opportunity for 
states to learn from one another's successes and experiences.

D. Technical Assistance and Process Evaluation

    ASPE will fund an independent contractor to provide technical 
assistance. We expect that the contractor will provide on-site 
technical assistance and develop technical assistance and training 
materials for States. An independent process evaluation will also be 
conducted with ASPE funds. The process evaluation will, at a minimum, 
address key research questions:
    1. What are the issues and challenges associated with implementing 
and operating the funded projects?
    2. What are the expected short and long-term implications of this 
intervention for clients, as well as for agencies involved?
    3. What other innovative ideas/projects may grow out of each funded 
project and the program as a whole?
    The evaluation will address:
    [sbull] Strategies undertaken to implement the innovation (e.g. 
participation of community representatives, client participation, 
partnerships with local and state government agencies, etc.)
    [sbull] Process and other outcomes for clients
    [sbull] Changes in communication/collaboration between local 
agencies, states, and providers
    [sbull] Potential organizational changes resulting from ideas 
generated through the design or implementation process (i.e. state or 
local policy changes, new programs initiated, fostering of community 
collaboration)
    [sbull] Potential for further research and evaluation on outcomes 
for service population

[[Page 36601]]

    We expect that the work undertaken through this evaluation will 
result in important operational lessons and sound information about 
implementing innovative approaches. ASPE expects that this investment 
will benefit low-income clients and families, state and local health 
and human service administrators, others who work with low-income 
people, and the general public.

Part II. Project and Applicant Eligibility

A. Eligible Applicants

    The District of Columbia and any of the 50 states are eligible to 
apply for funding.
    In order to be considered under this announcement, applicants under 
either Track 1 or 2 should indicate their willingness and intention to 
participate in a process evaluation, under the direction of and with 
assistance from HHS and its contractor.

B. Available Funds

    Approximately $2.5 million is expected to be available from ASPE 
funds appropriated for fiscal year 2002. We estimate that this level of 
funding will support between 4-6 Track 1 demonstration grants and 
between 10 and 20 Track 2 planning grants.

C. Budget and Project Period

    Awards made under this announcement for Track 1 will be for up to 
12-month budget periods. States may propose projects up to 36 months in 
duration. Subject to the availability of funds, grantees with projects 
which last longer then 12 months will be allowed to submit subsequent 
applications for additional funding, at a lower level, for the 
additional budget period(s). Decisions on subsequent funding will be 
made on a noncompetitive basis based on the availability of funds, the 
adequate progress of the grantee, and such other similar criteria as 
the Department determines. Any requested additional funding will be 
reviewed to determine that the continuation of the project is 
consistent with the purposes of the announcement. Awards made under 
this announcement for Track 2 will be for up to 12-month budget periods 
and 17 month project periods.
    After award, any purchase of computer hardware or software needs to 
be requested in writing by the grantee and approved in writing by the 
ASPE project officer and the grants officer. Purchases of computer 
hardware or software for routine uses will not be considered. See 
section Part IV, Section II for more information on review criteria for 
MIS/Data System proposals.
    No funds may be paid as profit to grantees or subgrantees, i.e., 
any amount in excess of allowable direct and indirect costs of the 
recipient (45 CFR 74.81). Grant monies can be used for services to the 
extent that the cost of the services cannot be covered under existing 
programs.

D. Matching Requirements

    Grantees must provide at least 10 percent of the total approved 
cost of the project. The total approved cost of the project is the sum 
of the Federal share and the non-Federal share. The non-Federal share 
may be met by cash or in-kind contributions, although applicants are 
encouraged to meet their match requirements through cash contributions. 
For example, a state with a project with a total budget (both direct 
and indirect costs) of $500,000 may request up to $450,000 in federal 
funds. Matching requirements cannot be met with funds from other 
federally-funded programs.
    If a proposed project activity has approved funding support from 
other funding sources, the amount, duration, purpose, and source of the 
funds should be indicated in materials submitted under this 
announcement. If completion of the proposed project activity is 
contingent upon approval of funding from other sources, the 
relationship between the funds being sought elsewhere and from ASPE 
should be discussed in the budget information submitted as a part of 
the abstract. In both cases, the contribution that ASPE funds will make 
to the project should be clearly presented.

Part III. The Review Process

A. Intergovernmental Review

State Single Point of Contact (E.O. No. 12372)
    DHHS has determined that this program is not subject to Executive 
Order 12372, ``Intergovernmental Review of Federal Programs.'' 
Applicants are not required to seek intergovernmental review of their 
applications within the constraints of E.O. 12372.

B. Initial Screening

    Each application submitted under this program announcement will 
undergo a pre-review to determine that (1) the application was received 
by the closing date and submitted in accordance with the instructions 
in this announcement (2) the applicant is eligible for funding, (3) 
must include assurance that they and other relevant participating 
organizations will be willing to field test strategies and to 
participate in a process evaluation (this must be indicated on the page 
with the project abstract--see part IV, section E, 8(a)), and (4) is 
within the page limit (see part III, section C). Note that applications 
exceeding the page limit will not be reviewed further and will be 
ineligible for funding.

C. Competitive Review and Evaluation Criteria

    Applications that pass the initial ASPE pre-review screening will 
be evaluated and rated by an independent review panel on the basis of 
specific evaluation criteria. The evaluation criteria are designed to 
assess the quality of the proposed project and to determine the 
likelihood of its success. The evaluation criteria are closely related 
and are considered as a whole in judging the overall quality of an 
application. Points are awarded only to applications that are 
responsive to the evaluation criteria as provided in this program 
announcement.
    In order to ensure that the interests of the Federal Government are 
met, in making the final selections, ASPE may consider additional 
factors, in addition to the review criteria identified below such as 
the applicants' capacity for innovation (we encourage states with 
historically limited capacity to apply for grants), the potential 
impact of the innovation on the target population, the potential for 
building upon funded activities, the extent of partnerships with local 
entities, the overall diversity of program activities within the 
applicant pool, and the overall diversity of geographic areas within 
the applicant pool.
    Although the review criteria are the same for applications 
submitted under either Track 1 or Track 2, the level of detail 
contained in the application is expected to be greater for Track 1 
applications given that the applicant has likely progressed further in 
formulating the proposed approach (e.g., identifying questions to be 
addressed, developing and implementing retention and/or advancement 
strategies, identifying data sources) and that more funds are 
available. Track 1 applications should be 10-20 pages, and Track 2 
applications should be 5-10 pages. Applications exceeding the page 
limit will not be reviewed. Applicants are requested to be concise. 
More information about application submission is provided under Part 
IV, below.
    Proposed projects will be reviewed using the following evaluation 
criteria:
    (1) Approach: (40 POINTS)
    The application will be judged on the extent to which the proposed 
approaches to project activities are

[[Page 36602]]

adequate and appropriate to meet the objectives for projects in this 
program as set out in this announcement. As a part of the proposed 
approach, the application should identify the key, relevant 
organizations that will be involved in project activity and describe 
operational relationships that exist or will be put into place among 
the state, local public, private and non-profit agencies, and any other 
entities. Plans for cross-agency collaboration should be clearly 
explained.
    Track 1 applicants should include a discussion of the proposed 
approach for implementing and operating the innovative strategies 
identifying specific steps to be undertaken. Track 2 applicants should 
discuss the approach for implementing planning activities. If 
alternative strategies are already operating, the discussion should 
indicate how long they have been in place and ways in which they will 
be affected by the proposed innovation. For track 1, the approach 
should include a discussion of the time frame and action steps 
necessary before the project becomes operational (e.g., staff must be 
trained over the next six months; partnerships with local agencies, 
non-profits, employers, etc. must be established, etc.) The application 
will be judged based on the extent to which the proposed project 
demonstrates a firm commitment of State, and/or local, and/or private 
funding and /or in-kind contributions dedicated to sustainability of 
the project, on the extent to which it is innovative, and on its 
potential for improving outcomes either in target populations or 
management of state programs.
    The application should include a brief discussion of the location 
of the proposed project. Maps or other graphic aids may be attached. 
Applications should include appropriate information about the size of 
the target population in the proposed site/area and other data or 
information available that relate to the project activity.
    It may be necessary for agencies to provide data to an evaluation 
contractor. The types of data likely to be required under this project 
include administrative data, including data on program attendance, or 
other participation data. Data may also be collected from program 
managers and staff and from individuals participating in the 
demonstration program. The proposed approach should indicate the 
availability of such data, the source of the data, the extent to which 
it can be obtained or accessed by the applicant organization, the 
existence of data exchange agreements with other agencies that are the 
source of needed data, and the willingness of the applicant agency to 
obtain data needed for the evaluation. Any limitations regarding data 
availability or access should be discussed, including any fees for 
data.
    Any application for a project involving the use of personally-
identifiable information about patients or clients that grantees 
collect should describe how the project intends to address the privacy 
and confidentiality issues presented by the data collection. The 
description should not include details of collection, consent, security 
and the like. It should describe the organizational and planning 
approaches that will ensure that the project addresses these issues in 
a thoughtful way, respectful of the patients' and clients' privacy and 
dignity, in accord with all applicable law, and, if appropriate, taking 
particular account of the special privacy issues created by systems 
that integrate or link administrative data across several programs that 
serve the same population.
    Management Information Systems/Data Enhancement--If one of the 
project's components includes the development of a management 
information system (MIS) or enhancement of data systems, please append 
a supplemental description of the existing system and the proposed 
enhancements (If applicable, this section should be included as an 
appendix and should not be more than 3 pages. The appendix does not 
count toward the page limit).
    This supplemental information on MIS/data system development will 
be reviewed separately by a technical review panel. The supplemental 
descriptions should also include the following:
    [sbull] The goals of the MIS/data project and how they fit into the 
overall goals and needs of the applicant's current system.
    [sbull] The current and intended system, including plans to manage 
data and create or purchase software; connectivity such as wide area 
networks, web-based access, smart cards and expanded connections to 
existing mainframe systems; compliance with Health Insurance 
Portability and Accountability Act (HIPAA) requirements for patient 
privacy and confidentiality, and security plans.
    [sbull] The implementation steps, the current status of 
implementation, and planned training for users of the system.
    [sbull] The decision-making process for MIS including how the 
proposed activities were selected, who was consulted, and how ongoing 
decisions related to data elements and definitions will be reached.
    [sbull] What is expected to be funded under the grant (hardware, 
software, personnel, consultants)?
    [sbull] How system maintenance and upgrades will be sustained after 
the grant.

(2) Objectives and Need for Assistance: (15 points)

    The applications should describe (1) issues and challenges which 
the applicant has considered and dealt with to date in designing and/or 
implementing strategies for system improvements, including an 
assessment of the current delivery system and the most urgent needs of 
the project's target population or system, and (2) the proposed 
innovation strategy and ways in which it will significantly enhance 
performance. A description of existing resources and programs for the 
target population, barriers in the current delivery system, and gaps in 
service delivery should also be included. The applicant should include 
any supporting data or available information which suggest why the 
innovation is needed. Applications will be judged on the relevance of 
the discussion to the program objectives set out within this 
announcement. The application will also be judged on the extent to 
which the innovation proposed will help to address the target 
population's needs, build the knowledge base, and have applicability to 
a range of states and localities.

(3) Results or Benefits Expected: (15 points)

    The application should describe how the proposed innovation will 
address the identified needs and improve the delivery of services or 
activities. The application should identify specific outcome measures 
(goals) to be achieved through the innovation (Examples of innovative 
strategies are attached).
    Goals should be tied to discrete, measurable objectives. Examples 
include: Increase in the proportion of participants entering jobs at 
higher wage levels; increased partnerships between agencies and 
employers to support working families; increased access to health and 
human services benefits; increased integration of programs or services 
targeting clients with multiple barriers; increased innovation related 
to ``consumer-directed'' approaches to home and community-based long-
term care services; more rapid access to program and client date; etc. 
The application will be judged on the extent to which the proposed 
program design

[[Page 36603]]

or policies can be expected to achieve the stated project goals.
    In committing to participate in a process evaluation, applicants 
should be able to report baseline information, including the size of 
the target population and the expected number of individuals or 
families to be served by the project, as appropriate. Interim and final 
program reports will be required.

(4) Staff and Position Data: (10 Points)

    The application should include a listing of key individuals who 
will oversee and work on the project, specifically identifying the key 
individuals from the applicant agency who will serve as the primary 
contacts for ASPE and contractor staff, indicating their positions, 
areas of responsibility and authority, and the proportion of time that 
will be available for project activity.
    Applications will be judged on the extent to which individuals with 
appropriate authority, positions, and experience will work on the 
project and the adequacy of time allocated for key staff to the 
project. In addition, the application will be judged on the extent to 
which there is a commitment to the project evidenced by the 
participation of senior state and local officials and managers and on 
the adequacy of the proposed plans for obtaining advice and direction 
regarding project work and involvement and assistance to resolve issues 
or problems, as appropriate.

(5) Adequacy of Workplan (10 points)

    Track 1 applicants should provide details about how demonstration 
projects will be implemented, and Track 2 applicants should provide 
details about how the planning processes will evolve. Applications 
should delineate tasks for completing the work, indicate staff 
assignments for each task, and provide a schedule for completing each 
task. Applicants should also describe mechanisms that will be put in 
place to maintain quality control over the project. The application 
will be judged on the appropriateness and timeliness of the work 
schedule and tasks, staff assignments, and quality assurance plan.

(6) Budget Appropriateness: (10 points)

    The application must include a narrative description and 
justification for proposed budget line items and demonstrate that the 
project's costs are adequate, reasonable and necessary for the 
activities or personnel to be supported. The budget and narrative 
should have a clear relationship to the approach. The budget must 
include 2 trips to Washington, DC. The application will be judged on 
the extent to which adequate staffing and other resources will be 
provided as required to successfully carry out the tasks and activities 
proposed. (Applicants should refer to the budget information presented 
in the Standard Forms 424 and 424A, which can be found at http://aspe.hhs.gov/funding.htm).

Part IV. The Application

A. Application Development

    In order to be considered for an award under this program 
announcement, an application must be submitted on the forms supplied 
and in the manner prescribed by ASPE. Application materials including 
forms and instructions are attached to this announcement. Additional 
copies are available from Brenda Benesch or may be obtained 
electronically from the ASPE World Wide Web site: http://aspe.hhs.gov/funding.htm
    Applicants should refer to the attached application kit for 
instructions regarding which forms, certifications and assurances are 
required and for instructions on completing the forms and preparing and 
submitting the application. Each application package must include an 
original and two copies of the complete application. All pages of the 
narrative must be sequentially numbered and unbound.
    Applications must be received in the following format:
    [sbull] 12 point font size
    [sbull] Single line spacing
    [sbull] 1 inch top, bottom, left, and right margins
    [sbull] Applications under Track 1 should be 10-20 pages. 
Applications submitted under Track 2 applications should be 5-10 pages. 
Page limits apply to items Section IV, E, 8(b-e) only; page limits do 
not include standard forms, certificates, and the like. Forms are 
available from Brenda Benesch or may be obtained electronically from 
the ASPE world Wide Web site: http://aspe.hhs.gov/funding.htm. 
Applications that are not received in the format described above and/or 
exceed the page limit, will not be reviewed. Applicants are requested 
to be concise. Applicants are encouraged not to attach or include bound 
reports or other documents.

B. Application Submission

    1. Mailed applications postmarked after the closing date will be 
classified as late.
    2. Deadline. The closing (deadline) date for submission of 
applications under Track 1 is July 23, 2002, and under Track 2 is July 
23, 2002. Please e-mail Brenda Benesch at [email protected] by 
June 13, 2002, to inform the government of your intent to submit an 
application. Please include the proposed title of the project and the 
name of the agency submitting the application. Please put ``intent to 
submit--track 1'' or ``intent to submit--track 2'' in the subject line 
of your email. Providing notice of intent to submit is not a 
requirement for submitting an application. However, a notice of intent 
to submit will help the federal government in the planning for the 
review process. U.S.P.S. mailed applications shall be considered as 
meeting the announced deadline if they are either received on or before 
the deadline date or postmarked on or before the deadline date and 
received by ASPE in time for the independent review to: Michael J. 
Loewe, Deputy Grants Management Officer, Grants Management Branch 
National Institute of Child Health and Human Development, U.S. 
Department of Health and Human Services, 6100 Executive Boulevard, Room 
8A01, Bethesda Maryland 20892-7510 (Regular Mail), Rockville Maryland 
20852 (Express Mail), Phone: (301) 435-6995 Fax: (301) 402-0915.
    If applicants use a commercial mail service, they must ensure that 
a legibly dated, machine produced postmark of a commercial mail service 
is affixed to the envelope/package containing the application. To be 
acceptable as proof of timely mailing, a postmark from a commercial 
mail service must include the logo/emblem of the commercial mail 
service company and must reflect the date the package was received by 
the commercial mail service company from the applicant. Private Metered 
postmarks shall not be acceptable as proof of timely mailing. 
(Applicants are cautioned that express/overnight mail services do not 
always deliver as agreed.)
    Applications hand-carried by applicants, applicant couriers, or by 
other representatives of the applicant shall be considered as meeting 
an announced deadline if they are received on or before the deadline 
date, between the hours of 8 a.m. and 4:30 p.m. EST, at the U.S. 
Department of Health and Human Services, Grants Management Branch 
National Institute of Child Health and Human Development, U.S. 
Department of Health and Human Services, 6100 Executive Boulevard, Room 
8A01 Bethesda Maryland 20892-7510 (Regular Mail), Rockville Maryland 
20852 (Express Mail) ) The address must appear on the envelope/package 
containing the application with the note ``Attention: ( Michael J. 
Loewe, Deputy Grants Management Officer ``

[[Page 36604]]

(Applicants are cautioned that express/overnight mail services do not 
always deliver as agreed.)
    An application sent via the U.S. Postal Service will be considered 
as having met the deadline if it is postmarked before midnight three 
days prior to July 23, 2002, and received in time to be considered 
during the competitive review process (within two weeks of the 
deadline).
    Applications transmitted by fax or through other electronic means 
will not be accepted regardless of date or time of submission or 
receipt.
    3. Late applications. Applications that do not meet the criteria 
above are considered late applications. NICHD shall notify each late 
applicant that its application will not be considered in the current 
competition.
    4. Extension of deadlines. NICHD may extend an application deadline 
when circumstances such as acts of God (floods, hurricanes, etc.) 
occur, or when there are widespread disruptions of the mail service, or 
in other rare cases. Determinations to extend or waive deadline 
requirements rest with Michael J. Loewe , Deputy Grants Management 
Officer, Grants Management Branch, National Institute of Child Health 
and Human Development.

C. Disposition of Applications

    1. Approval, disapproval, or deferral. On the basis of the review 
of the application, the Assistant Secretary will either (a) approve the 
application as a whole or in part; (b) disapprove the application; or 
(c) defer action on the application for such reasons as lack of funds 
or a need for further review.
    2. Notification of disposition. The Assistant Secretary for 
Planning and Evaluation will notify the applicants of the disposition 
of their applications. If approved, a signed notification of the award 
will be sent to the business office named in the ASPE checklist.
    3. The Assistant Secretary's Discretion. Nothing in this 
announcement should be construed as to obligate the Assistant Secretary 
for Planning and Evaluation to make any awards whatsoever. Awards and 
the distribution of awards among the priority areas are contingent on 
the needs of the Department at any point in time and the quality of the 
applications that are received.

D. Components of a Complete Application

    A complete application consists of the following items in this 
order:
    1. Application for Federal Assistance (Standard Form 424);
    2. Budget Information--Non-construction Programs (Standard Form 
424A);
    3. Assurances--Non-construction Programs (Standard From 424B);
    4. Table of Contents;
    5. Budget Justification for Section B Budget Categories;
    6. Proof of Non-profit Status, if appropriate;
    7. Copy of the applicant's Approved Indirect Cost Rate Agreement, 
if necessary;
    8. Project Narrative Statement, organized in six sections, 
addressing the following topics (b through e are limited to twenty (20) 
single-spaced pages for Track 1 and ten (10) pages single-spaced pages 
for Track 2):
    (a) Abstract (must include assurance of willingness to participate 
in a process evaluation),
    (b) Goals, Objectives and Usefulness of the Project,
    (c) Methodology and Design,
    (d) Background of the Personnel and Organizational Capabilities,
    (e) Work plan (timetable), and
    (f) Budget narrative.
    9. Any appendices or attachments;
    10. Certification Regarding Drug-Free Workplace;
    11. Certification Regarding Debarment, Suspension, or other 
Responsibility Matters;
    12. Certification and, if necessary, Disclosure Regarding Lobbying;
    13. Supplement to Section II--Key Personnel;
    14. Application for Federal Assistance Checklist.
    Standard forms are available from Brenda Benesch or may be obtained 
electronically from the ASPE World Wide Web site: http://aspe.hhs.gov/funding.htm

Part V. Questions and Answers

1. Should We Apply Under Track 1 or Track 2?

    There are two ``tracks'' under this announcement. Track 1 
applicants are expected to be those state agencies that are ready to 
implement proposed innovations or expand existing innovative 
strategies. Track 1 applicants likely will have innovative strategies 
developed and most or all aspects of the programs or services will have 
been piloted, if not fully implemented. Track 2 applicants are expected 
to be those state agencies that have innovative ideas, but need time 
for further planning to fully develop or finalize operational plans.
    ASPE expects that approved applications under Track 1 will be for a 
period of 1 year (with the possibility of an additional 2 years of 
funding at a lower level) and applications under Track 2 will be for a 
period of 17 months.

2. Which Agency May Submit the Application Under This Announcement?

    Any state agency may apply. However, refer to Section I, part C, 
regarding the purpose of the program.
    ASPE expects that the project will be conducted in a defined 
geographic area (e.g., county, city, selected districts, or the state).
    As indicated in the announcement, the state can propose more than 
one project and can apply under either Track 1 or 2, or under both 
tracks (for different projects).

3. How Much Money is Available Per Applicant Under This Announcement?

    Track 1: ASPE anticipates that awards under Track 1 may be up to 
$500,000 per year.
    Track 2: ASPE anticipates that awards under Track 2 may be up to 
$50,000 for the 17-month period.

4. How Many Awards Will Be Made or How Many Applications Will Be 
Approved?

    Track 1: ASPE anticipates awarding 4-6 grants under Track 1.
    Track 2: ASPE anticipates awarding up to 20 grants under Track 2, 
under this announcement.

5. May a State Submit More Than One Application (e.g., Under Either 
Track 1 or 2 or Submit Applications Under Each Track)?

    Yes. If the state agency wishes to propose and apply to have more 
than one project awarded under either Track 1 or 2, they should submit 
an application for each proposed project. Sufficient budget detail must 
be provided to allow ASPE to determine the costs associated with each 
project proposed.
    If the state agency wishes to submit applications under both Track 
1 and Track 2 for different projects, separate applications for each 
track must be submitted. (Note: there are different submission 
deadlines for each track).

6. Can More Than One Agency From a State Apply?

    Yes.

7. Are There Page Limits or Other Page Guidelines for the Narrative 
Section of the Application?

    Yes, there are page limits for the applications. Applicants are 
requested to be concise. The announcement

[[Page 36605]]

indicates that applications are not expected to be lengthy (see Part 
III, Section C). Track 1 applications must be no longer than 20 pages, 
and Track 2 applications must be no longer than 10 pages, excluding 
required forms, certificates, etc. Applications must be typed in 12 
point font size, with single line spacing, and 1 inch top, bottom, 
right, and left margins. Applications that exceed the page limits and 
other guidelines will not be considered.

8. Where Should Applications Be Sent?

    An original and two copies of the complete application should be 
sent: to Michael J. Loewe, Deputy Grants Management Officer, Grants 
Management Branch, National Institute of Child Health and Human 
Development, U.S. Department of Health and Human Services, 6100 
Executive Boulevard, Room 8A01, Bethesda, Maryland 20892-7510 (Regular 
Mail), Rockville, Maryland 20852 (Express Mail) , Phone: (301) 435-
6995.

9. What Is the Application Submission Deadline?

    For Track 1: applications must be received or postmarked by July 
23, 2002.
    For Track 2: applications must be received or postmarked by July 
23, 2002.

10. What Is the Deadline for Applications Sent Via Overnight Courier 
Services?

    Applications that are hand-carried will be considered as meeting 
the deadline if they are received on or before the deadline date 
between the hours of 8 a.m. and 4:30 p.m. EST at Grants Management 
Branch, National Institute of Child Health and Human Development, U.S. 
Department of Health and Human Services, 6100 Executive Boulevard, Room 
8A01, Bethesda, Maryland 20892-7510 (Regular Mail), Rockville, Maryland 
20852 (Express Mail), Phone: (301) 435-6995, Fax: (301) 402-0915. The 
address must include the designation: ``Attention: Michael Loewe''. 
(Applicants are cautioned that express/overnight mail services do not 
always deliver as agreed.)

11. May Applications Be Faxed or Sent Electronically?

    Applications transmitted by fax or through other electronic means 
will not be accepted regardless of date or time of submission or 
receipt.

12. Where Can Additional Copies of the Announcement and/or Forms Be 
Obtained?

    The complete package, announcement and standard forms, are 
available on the ASPE Web site at: http://aspe.hhs.gov/funding.htm or 
by calling Michael Loewe at (301) 435-6995.

Part VI: Appendix

Examples of Activities for State Innovation Grants

    The following are intended as examples that States may pursue 
through innovation grants. Although we have grouped the examples 
into subcategories, several of them describe cross-cutting issues. 
States are encouraged to submit ideas of their choosing, and are not 
required to use one of the ideas suggested below.

Access to Health Care and/or Human Services and Benefits

    [sbull] Many states are interested in expanding access to 
private health insurance for low-income workers. Funds from state 
innovation grants could be used for the design or infrastructure 
development of programs such as the following:
    [sbull] Premium assistance programs for low-income workers who 
cannot afford to purchase insurance offered by their employers--
states could subsidize premiums or other cost-sharing requirements 
for workers deemed eligible;
    [sbull] A private insurance product for small employers who do 
not now offer insurance coverage to their employees--states could 
target certain employers for this type of insurance, including 
daycare and long-term care providers and other service-oriented 
businesses.
    [sbull] States could adopt a number of strategies to address 
lack of access to dental care and affordable dental insurance, which 
is particularly a problem among the poor, racial and ethnic 
minorities, and people living in rural areas. For example, states 
could form public/private partnerships to increase the number of 
providers or the availability of dental insurance.
    [sbull] Coordination between adequate income, food, social 
services, and health care is especially important in rural 
communities and areas with high concentration of poverty where 
services and providers are limited. Although health and social 
welfare are strongly associated with one another, Federal, State, 
and local planning efforts continue to address primary health care, 
behavioral health care, and social services separately. States could 
use innovation grants to improve coordination and compatibility of 
services, processing requirements, eligibility, and financial 
accountability.
    [sbull] Many states are interested in providing coverage for 
personal care and other community-based services to be provided to 
Medicaid beneficiaries in assisted living facilities (ALFs). 
However, in order to serve Medicaid beneficiaries in ALFs, financing 
sources must be found to pay the room and board components of the 
cost of care since Medicaid law prohibits such coverage. The 
Department of Housing and Urban Development has a grants program 
specifically for conversion of Section 202 housing to assisted 
living, and HUD is interested in working with State Medicaid 
agencies. States may choose to apply for a State Innovation Grant to 
do some preliminary interagency planning to come up with new 
approaches that will enable them to access HUD funds for 202 
conversions to ALFs.

State Data Enhancements

    [sbull] States could enhance their data management systems to 
integrate or link administrative data across a range of programs 
that serve similarly situated families; expand eligibility screening 
processes; application of Geographic Information System (GIS) 
techniques for program planning and operations; or expand use of new 
technologies, such as Personal Digital Assistants.
    [sbull] States and providers often face burdensome, duplicative, 
inconsistent data collection and reporting requirements in their 
health and long-term care systems. States may elect to use a State 
Innovation Grant to work on the development of an electronic health 
information system that will support effective clinical management 
of patients; improve quality of care; enhance, expand, and support 
the role of patients in health care decision making; and reduce 
regulatory burden imposed on providers.

Comprehensive Support Services for Children and Families

    [sbull] Many states are developing a comprehensive set of early 
childhood services and family support programs to promote school-
readiness in all young children. To support high-risk families, 
working families, and children with special needs, states could 
integrate federal support systems that address different facets of 
early childhood (i.e., Medicaid, SCHIP, mental health, child care, 
Head Start and Early Head Start, etc.); or link key services that 
address the various components of early childhood development (for 
example, promoting reading readiness and healthy development in 
child care settings).
    [sbull] States are beginning to realize that there is tremendous 
overlap between adults in the criminal justice system and the adults 
and children served in many of the health and human services 
programs targeting low-income families. States could build 
connections between support programs for families of prisoners, 
prisoner/re-entry programs, and health and social service delivery 
systems.
    [sbull] There is growing recognition of the critical importance 
of primary and secondary prevention of youth risk behavior through 
approaches and supports targeting all youth, and particularly high-
risk youth. States can make a significant effort to provide program 
interventions to compensate for those that may be missing within the 
current system by: involving multiple youth serving sectors to 
develop core indicators and encouraging state data agencies to 
monitor these indicators; providing cross-training to facilitate 
interagency education and

[[Page 36606]]

communication; or developing a state youth coordinating council.
    [sbull] State or local agencies might partner with employers to 
support low-income working families by matching the employer's 
provision of paid release time to take job-related classes. Agencies 
could also partner with employers to offer lunchtime classes on such 
topics as choosing a child care provider, conflict resolution, or 
repairing bad credit.

Long-Term Care Services and Resources

    [sbull] States interested in experimenting with ``consumer-
directed'' approaches to home and community-based long-term care 
services could undertake a variety of innovative practices, for 
example: developing the specialized infrastructure needed for 
consumers to recruit and manage home care workers directly, without 
having to take on the business-related tasks of issuing paychecks 
and making required tax filings; providing consumer-directed service 
options within managed care structures; providing options for 
particular constituencies, such as elders with Alzheimer's disease 
and their families; or growing small pilot programs to scale and 
adapting those originally funded with state revenues to conform to 
Medicaid requirements.
    [sbull] States could develop campaigns to make residents aware 
of their risk for long-term care and their options for planning 
ahead, including purchasing private long-term care insurance. States 
could use their existing aging infrastructure to ensure that persons 
nearing retirement age are offered the resources and assistance 
necessary for successful planning, or they could use the grant 
resources to investigate the best and most cost-effective mechanisms 
for educating citizens so that future resources will be well 
targeted.
    [sbull] Allegations of poor quality, abuse, and neglect in 
nursing homes are giving rise to an increasing number of private 
lawsuits and, as a result, liability insurance premiums for 
facilities in a number of states have gone sky high. States may 
choose to apply for state innovation grants to develop working 
partnerships with private liability insurers to identify ``best 
practices'' for nursing homes that, if adopted by facilities, can be 
linked to liability premium discounts.
    [sbull] States, providers, consumers and others are increasingly 
struggling with a serious crisis in recruiting and retaining a 
quality, committed workforce to provide long-term care services in 
institutional and home and community-based settings. States may opt 
to use state innovation funds to develop and implement programs to 
address the shortage. For example, states could experiment with 
providing new training programs, establishing alternative approaches 
to management and supervision, improving benefits for direct care 
workers, or creating career ladders.

    Dated: May 15, 2002.
William F. Raub,
Principal Deputy Secretary for Planning and Evaluation.
[FR Doc. 02-13034 Filed 5-23-02; 8:45 am]
BILLING CODE 4120-01-P