[Federal Register Volume 68, Number 133 (Friday, July 11, 2003)]
[Notices]
[Pages 41390-41391]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-17530]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Health Resources and Services Administration


Fiscal Year 2003 Competitive Application Cycle for Operational 
Health Center Networks (OHCN) CFDA Number 93.224, HRSA-03-105

AGENCY: Health Resources and Services Administration, HHS.

ACTION: Notice of availability of funds.

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SUMMARY: The Health Resources and Services Administration (HRSA) 
announces the availability of up to $2,100,000 to support costs 
associated with the operation of a practice management or managed care 
network or plan, including the purchase or lease of equipment 
(including the costs of amortizing the principal of, and paying the 
interest on, loans for equipment).
    Authorizing Legislation: Section 330(e)(1)(C) of the Public Health 
Service Act, as amended authorizes support to health centers that 
receive assistance under section 330, or at the request of the health 
centers, directly to a managed care or practice management network or 
plan that is at least majority controlled and, as applicable, at least 
majority owned by such health centers receiving assistance under 
section 330 for the costs associated with the operation of such network 
or plan, including the purchase or lease of equipment (including the 
costs of amortizing the principal of, and paying the interest on, loans 
for equipment). Operational networks are defined as a group of three or 
more health centers that can demonstrate that an essential, mission-
critical function is performed at the network level for the network 
members, enabling the member centers to perform their business and 
clinical operations more efficiently and effectively.

DATES: The intended time lines for application submission, review, and 
award are as follows:
    Application Deadline: August 11, 2003.
    Grant awards announced: September 30, 2003.
    Applications will be considered on time if they are: (1) received 
by 5 p.m. Eastern Standard Time on August 11, 2003; or (2) postmarked 
on or before the deadline date given in the Federal Register notice and 
received in time for orderly processing. Applications submitted after 
the deadline date will be returned to the applicant and not processed. 
Applicants should obtain a legibly dated receipt from a commercial 
carrier or the U.S. Postal Service or request a legibly dated U.S. 
Postal Service postmark. Private metered postmarks shall not be 
accepted as proof of timely mailing. Applications sent to any address 
other than that specified below are subject to being returned. 
Applicants should note that HRSA anticipates accepting grant 
applications online in the last quarter of the fiscal year (July 
through September). Please refer to the HRSA grants schedule at http://www.hrsa.gov/grants.htm for more information.
    Where to request and send an application: To obtain a complete 
application kit, (i.e., application instructions, necessary forms, and 
application review criteria), contact the HRSA Grants Application 
Center (GAC) at: HRSA Grants Application Center, 901 Russell Avenue, 
Suite 450, Gaithersburg, Maryland 20879, Phone: 1-877-HRSA-123 (1-877-
477-2123), Fax: 1-877-HRSA-345 (1-877-477-2345), Email: 
[email protected].
    When contacting the HRSA GAC please use the following program 
announcement when requesting application materials: HRSA-03-105, citing 
``Operational Health Center Networks.'' Send the original and two 
copies of the application to the HRSA GAC. Applicants will receive a 
letter acknowledging the receipt of their application.
    Eligible applicants: The following entities are eligible to apply 
for funding under this announcement:
    1. A health center, as defined and funded under section 330 of the 
Public Health Service Act, acting on behalf of the member health 
centers and the network.
    (A) A health center applying on behalf of a managed care network or 
plan must have received Federal grants under subsection (e)(1)(A) of 
section 330 for at least the two consecutive preceding years.
    (B) A health center (Community Health Center, Migrant Health 
Center, Health Care for the Homeless, Public Housing Primary Care and 
Healthy Schools, Healthy Communities) applying on behalf of a practice 
management network must have received Federal grants under section 330 
for at least the two consecutive preceding years.
    2. Operational networks, controlled by and acting on behalf of the 
health center(s) as defined and funded under section 330 of the Public 
Health Service Act. At the request of all the member health centers, a 
network may apply for direct funds if it is at least majority 
controlled and, as applicable, at least majority owned, by such health 
centers.
    3. Eligibility is limited to public and non-profit organizations, 
including faith-based and community organizations.
    Matching or cost sharing requirement: Grantees must provide at 
least 60 percent of the total approved cost of the project. The total 
approved cost of the project is the sum of the HRSA share and the non-
Federal share. Applicants must demonstrate that at least 30 percent of 
the cost sharing requirement is met through cash contributions. The 
remaining non-Federal share may be met by cash or in-kind 
contributions.
    Application review and funding criteria: Each application submitted 
by the deadline will be reviewed initially for completeness and 
eligibility. Applications that are determined to be ineligible, 
incomplete, or non-responsive will be returned to the applicant without 
further consideration. Those applications that are determined to be 
eligible and responsive to the requirements will be reviewed by a panel 
of reviewers comprised of non-Federal experts using the following 
objective review criteria:
    1. Appropriateness in meeting expectations of the Integrated Shared 
Development Initiative--extent to which the application effectively 
demonstrates the integration and coordination of primary care across 
business and clinical functions of network members.
    2. Appropriateness to State Environment and Marketplace--extent to 
which the application demonstrates both the (a) appropriateness of the 
network to the State marketplace and/or

[[Page 41391]]

environment, and (b) strengthened position (i.e., financial condition, 
competitive position) of its member health centers in the State 
marketplace and/or environment.
    3. Strength of Collaboration--extent to which commitment (as 
evidenced by the contribution of time, resources, cash, etc.) by each 
network member is demonstrated in the business plan, implementation 
plan, strategic plan, budget spreadsheet and accompanying narrative, 
and operational agreement.
    4. Network Operation: Core Strength and Competencies--extent to 
which the network design is suited to the organizational/administrative 
capacity of the network members based on operational history of the 
network.
    5. Capacity of the Network to Support Shared/Integrated 
Operations--extent to which network members have shared and/or 
integrated functions or components of their systems.
    Funding preference: A funding preference is defined as the funding 
of a specific category or group of approved applications ahead of other 
categories of applications. A preference will be given to applicants 
proposing to serve sparsely populated rural or frontier areas.
    Estimated amount of available funds: For fiscal year 2003, up to 
$2,100,000 will be available for this program.
    Estimated project period: 3 years.
    Estimated number of awards: This is a new program; the estimated 
number of awards may range from 5 to 7 in fiscal year 2003.
    Estimated or average size of each award: This is a new grant 
program; the estimated costs are expected to vary considerably with a 
range from $150,000 to $300,000.
    Information contact: Applicants may contact Christie Brown by phone 
at 301-594-4314 or by email at [email protected].
    Paperwork Reduction Act: The application for Operational Health 
Center Networks has been approved by the Office of Management and 
Budget (OMB) under the Paperwork Reduction Act. The OMB clearance 
number is 0920-0428.
    Public health system reporting requirements: Under these 
requirements (approved by the Office of Management and Budget under OMB 
number 0937-0195), a community-based, non-governmental applicant must 
prepare and submit a Public Health System Impact Statement to the head 
of the appropriate State and local health agencies in the area(s) to be 
impacted no later than the Federal application receipt due date. This 
statement must include:
    1. A copy of the face page of the application (SF 424) and
    2. A summary of the project, not to exceed one page, which 
provides:
    a. A description of the population to be served,
    b. A summary of the services to be provided, and
    c. A description of the coordination planned with the appropriate 
State and local health agencies.
    Executive Order 12372: This program has been determined to be a 
program that is subject to the provisions of Executive Order 12372 
concerning intergovernmental review of Federal programs by appropriate 
health planning agencies, as implemented by 45 CFR Part 100. Executive 
Order 12372 allows States the option of setting up a system for 
reviewing applications from within their States for assistance under 
certain Federal programs. The application packages pursuant to this 
notice will contain a listing of States with review systems and will 
provide a single point of contact (SPOC) in the State for review. A 
SPOC list is also available at http://www.whitehouse.gov/omb/grants/spoc.html. Applicants (other than federally-recognized Indian tribal 
governments) should contact their SPOCs as early as possible to alert 
them to the prospective applications and receive any necessary 
instructions on the State process. For proposed projects serving more 
than one State, the applicant is advised to contact the SPOC of each 
affected State. The due date for State process recommendations is 60 
days after the applicable Federal application receipt due date. The 
granting agency does not guarantee to ``accommodate or explain'' its 
responses to State process recommendations received after the due date. 
(See ``Intergovernmental Review of Federal Programs,'' Executive Order 
12372, and 45 CFR part 100, for a description of the review process and 
requirements.)

    Dated: June 25, 2003.
Elizabeth M. Duke,
Administrator.
[FR Doc. 03-17530 Filed 7-10-03; 8:45 am]
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