[Federal Register Volume 69, Number 91 (Tuesday, May 11, 2004)]
[Notices]
[Pages 26122-26134]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-10555]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Administration for Children and Families


Grants and Cooperative Agreements; Notice of Availability

    Federal Agency Name: Administration for Children and Families, 
Office of Community Services.
    Funding Opportunity Title: Community Economic Development National 
Philanthropic Institutions.
    Announcement Type: Competitive Grant-Initial.
    Funding Opportunity Number: HHS-2004-ACF-OCS-CED-0021.
    CFDA Number: 93.570.
    Dates: Applications are due June 25, 2004.

I. Funding Opportunity Description

    The Community Services Block Grant (CSBG) Act of 1981, as amended, 
(Section 680 of the Community Opportunities, Accountability, and 
Training and Educational Services Act of 1998), authorizes the 
Secretary to award grants and provide technical and financial 
assistance for economic

[[Page 26123]]

development activities designed to address the economic needs of low-
income individuals and families by creating employment and business 
ownership opportunities.
    The Office of Community Services (OCS) will accept competing 
applications for grants in the form of cooperative agreements for 
Community Development Corporation/National Philanthropic Institution 
Projects (CDC/NPI) that support neighborhood transformation and create 
jobs and business ownership opportunities for low-income residents of 
urban areas. Faith-based organizations that meet the eligibility 
requirements specified in this announcement may apply for these grants.
    Applicants must be non-profit community development corporations 
(CDCs) including faith-based CDCs that:
    (a) Propose a project that will focus on neighborhoods located in a 
city with at least 250,000 residents where a comprehensive neighborhood 
transformation initiative is planned or underway;
    (b) Demonstrate firm and substantial support (financial or other 
support) for the proposed project from one or more locally based 
philanthropic institution(s); and
    (c) Demonstrate firm and substantial support (financial or other 
support) for the proposed project from a consortium of national 
philanthropic institutions, financial institutions, and government 
agencies that is strengthening community development and community 
revitalization in urban neighborhoods throughout the nation.
    Project Beneficiaries: Applicants must show that the proposed 
project will assist low-income persons to become economically self-
sufficient by creating employment or business ownership opportunities 
for them or significantly aiding such residents in maintaining an 
economically viable business. The Poverty Income Guidelines published 
by the U.S. Department of Health and Human Services at http://aspe.hhs.gov/poverty.shtml are used to define ``low income.'' In 
addition, grantees may contact the OCS Operations Center to obtain a 
copy of the guidelines. No other government agency or privately defined 
poverty guidelines are applicable for the determination of low-income 
eligibility for these OCS programs.

Definitions of Terms

    The following definitions apply:
    Budget Period--The time interval into which a grant period is 
divided for budgetary and funding purposes.
    Business Start-up Period--Time interval when the grantee completes 
preliminary project tasks. These tasks include but are not limited to 
assembling key staff, executing contracts, administering lease out or 
build-out of space for occupancy, purchasing plant and equipment and 
other similar activities. The Business Start-Up Period typically 
entails three to six months from when OCS awards the grant or 
cooperative agreement.
    Cash contributions--The recipient's cash outlay, including the 
outlay of money contributed to the recipient by the third parties.
    Community Development Corporation (CDC)--A private non-profit 
corporation governed by a board of directors consisting of residents of 
the community and business and civic leaders, which has as a principal 
purpose planning, developing, or managing low-income housing or 
community development projects.
    Community Economic Development (CED)--A process by which a 
community uses resources to attract capital and increase physical, 
commercial, and business development, as well as job opportunities for 
its residents.
    Construction projects--Projects that involve land improvements and 
development or major renovation of (new or existing) facilities and 
buildings, fixtures, and permanent attachments.
    Cooperative Agreement--An award instrument of financial assistance 
when substantial involvement is anticipated between the awarding 
office, (the Federal government) and the recipient during performance 
of the contemplated project. Substantial involvement may include 
collaboration or participation by the designating awarding office staff 
in activities specified in the award and, as appropriate, decision-
making at specified milestones related to performance. The involvement 
may range from joint conduct of a project to awarding office approval 
prior to the recipient's undertaking the next phase of a project.
    Hypothesis--An assumption made in order to test a theory. It should 
assert a cause-and-effect relationship between a program intervention 
and its expected result. Both the intervention and its result must be 
measured in order to confirm the hypothesis. The following is a 
hypothesis: ``Eighty hours of classroom training will be sufficient for 
participants to prepare a successful loan application.'' In this 
example, data would be obtained on the number of hours of training 
actually received by participants (the intervention), and the quality 
of loan applications (the result), to determine the validity of the 
hypothesis (that eighty hours of training is sufficient to produce the 
result).
    Intervention--Any planned activity within a project that is 
intended to produce changes in the target population and/or the 
environment and that can be formally evaluated. For example, assistance 
in the preparation of a business plan is an intervention.
    Job creation--New jobs, i.e. jobs not in existence prior to the 
start of the project, that result from new business startups, business 
expansion, development of new services industries, and/or other newly-
undertaken physical or commercial activities.
    Job placement--Placing a person in an existing vacant job of a 
business, service, or commercial activity not related to new 
development or expansion activity.
    Letter of commitment--A signed letter or agreement from a third 
party to the applicant that pledges financial or other support for the 
grant activities contingent only on OCS accepting the applicant's 
project proposal.
    Low Income Families and Individuals--People who are living in 
poverty, including those who rely on public assistance such as 
Temporary Assistance for Needy Families (TANF). Low-income 
beneficiaries may also include at-risk youth, custodial and non-
custodial parents, public housing residents, persons with disabilities, 
and people who are homeless.
    Non-profit Organization--An organization, including faith-based and 
community-based, that provides proof of non-profit status described in 
the ``Additional Information on Eligibility'' section of this 
announcement.
    Outcome evaluation--An assessment of project results as measured by 
collected data that define the net effects of the interventions applied 
in the project. An outcome evaluation will produce and interpret 
findings related to whether the interventions produced desirable 
changes and their potential for being replicated. It should answer the 
question: Did this program work?
    Phase One--The time interval when grantees accomplish preliminary 
activities including establishing third party agreements, mobilizing 
monetary funds and other resources, assembling, rezoning, and leasing 
of properties, conducting architectural and engineering studies, 
constructing facilities, etc.
    Phase Two--The time interval during the Project Period when 
businesses, commercial development or other activities are in 
operation, and employment, business development assistance, and so 
forth are provided.

[[Page 26124]]

    Poverty Income Guidelines--Guidelines published annually by the 
U.S. Department of Health and Human Services that establish the level 
of poverty defined as low-income for individuals and their families. 
The guideline information is posted on the Internet at the following 
address: http://aspe.hhs.gov/poverty.shtml.
    Philanthropic Institution--Foundations (including private, family 
and community foundations) and corporations (including, among other 
incorporated entities, banks and other lending institutions) that are 
providing grants and/or loans for charitable purposes, such as the 
elimination of slums and blight or provision of services for low-income 
families and individuals.
    Process evaluation--The ongoing examination of the implementation 
of a program. It focuses on the effectiveness and efficiency of the 
program's activities and interventions (for example, methods of 
recruiting participants, quality of training activities, or usefulness 
of follow-up procedures). It should answer the questions such as: Who 
is receiving what services and are the services being delivered as 
planned? It is also known as formative evaluation, because it gathers 
information that can be used as a management tool to improve the way a 
program operates while the program is in progress. It should also 
identify problems that occurred, how the problems were resolved and 
what recommendations are needed for future implementation.
    Program income--Gross income earned by the grant recipient that is 
directly generated by an activity supported with grant funds.
    Project Period--The total time for which a project is approved for 
OCS support, including any approved extensions.
    Self-employment--The employment status of an individual who engages 
in self-directed economic activities.
    Self-sufficiency--The economic status of a person who does not 
require public assistance to provide for his/her needs and that of his/
her immediate family.
    Sub-award--An award of financial assistance in the form of money, 
or property, made under an award by a recipient to an eligible sub-
recipient or by a sub-recipient to a lower tier sub-recipient. The term 
includes financial assistance when provided by any legal agreement, 
even if the agreement is called a contract, but does not include 
procurement of goods and services nor does it include any form of 
assistance which is excluded from the definition of ``award'' in 45 CFR 
Part 74. (Note: Equity investments and loan transactions are not sub-
awards.)
    Temporary Assistance for Needy Families (TANF)--The Federal block 
grant program authorized in Title I of the Personal Responsibility and 
Work Opportunity Reconciliation Act of 1996 (Pub. L. 104-193). The TANF 
program transformed ``welfare'' into a system that requires work in 
exchange for time-limited assistance.
    Third party--Any individual, organization or business entity that 
is not the direct recipient of grant funds.
    Third party agreement--A written agreement entered into by the 
grantee and an organization, individual or business entity (including a 
wholly owned subsidiary), by which the grantee makes an equity 
investment or a loan in support of grant purposes.
    Third party in-kind contributions--Non-cash contributions provided 
by non-Federal third parties. These contributions may be in the form of 
real property, equipment, supplies and other expendable property, and 
the value of goods and services directly benefiting and especially 
identifiable to the project or program.

Program Purpose, Scope and Focus

    OCS seeks to stimulate positive collaborative relationships between 
a small number of local private non-profit CDCs, locally based 
philanthropic institutions, and a national consortium of philanthropic 
institutions, financial services organizations and government agencies, 
to support neighborhood transformation in urban localities and to 
create long-term employment or business ownership opportunities for 
low-income people through business or commercial development.
    OCS seeks to support a total of four (4) CDC/NPI projects. Each 
project will be in a city with 250,000 or more residents. OCS will fund 
projects in two phases: (1) Phase One--the initial portion of the 
project when the grantee CDC and its partners analyze needs and 
opportunities, develop collaborative relationships, and finalize plans 
for job creation or business ownership strategies in the context of a 
neighborhood transformation effort. During this phase, the CDC and its 
partners also develop a thorough business plan for the job creation or 
business ownership strategy to be implemented in Phase Two. OCS will 
release no more than $200,000 for this phase. (2) Phase Two--the 
portion of the project when the grantee CDC and its partners execute 
the project plan to establish the business or commercial development or 
other activities that create jobs or business ownership opportunities 
for low-income persons in the target neighborhoods. OCS will release 
the balance of the grant award for Phase Two activities when the 
grantee CDC meets relevant program requirements such as, for example, 
presenting a final business plan concerning the job creation or 
business ownership strategy.

The Cooperative Agreement

    This announcement uses a cooperative agreement as the vehicle for 
funding Community Development Corporation/National Philanthropic 
Institution Projects. A cooperative agreement is an assistance 
instrument for which substantial involvement is anticipated between the 
awarding office and the recipient during performance of the funded 
activity. Substantial involvement may include collaboration or 
participation by designating awarding office staff in activities 
specified in the award and, as appropriate, decision-making at 
specified milestones related to performance. Potential types of 
substantial involvement under a cooperative agreement include, but are 
not limited to, collaborating in the design of a research protocol or a 
training or service delivery model; approving research protocols or 
analytical approaches or approving the initiation of a subsequent phase 
in a phased activity; training project staff in participating 
organizations; assisting in the evaluation of potential contractors; 
participating in the presentation of research results, including co-
authorship of papers; or providing other assistance in program 
management or technical performance.
    OCS and the grantee CDCs will each be responsible for particular 
duties and responsibilities throughout the project.

Guidance on Developing a Business Plan

    Business Plans are vital for the long-term success of OCS-funded 
business development projects. As described by the Small Business 
Administration, a business plan precisely defines a business, 
identifies its goals, and serves as the business' resume. The plan 
helps the supporting CDC, the business and other partners allocate 
resources property, handle unforeseen complications, and make good 
business decisions. Please see Section VI. Award Administration 
Information for details about the Business Plan that will be required 
before the beginning of Phase Two.

II. Award Information

    Funding Instrument Type: Cooperative Agreement. For a full

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description of the cooperative agreement please review The Cooperative 
Agreement in Section I.
    Anticipated total priority area funding: $2,000,000.
    Anticipated number of awards: 4 per project period.
    Ceiling of Individual Awards: $500,000 per project period.
    Floor on amount of individual awards: $500,000 per project period.
    Average Projected Award Amount: $500,000 per project period.
    Project Periods for Awards: Applications for projects that are 
exclusively construction, major alteration or renovation may request a 
budget and project period up to 5 years. Applications for non-
construction projects may request a budget and project period up to 17 
months.

III. Eligibility Information

1. Eligible Applicants

    Nonprofits having a 501(c)(3) status with the IRS, other than 
institutions of higher education and Nonprofits that do not have a 
501(c)(3) status with the IRS, other than institutions of higher 
education.
    Faith-based organizations are eligible to apply for these grants.
Additional Information on Eligibility
    Applicants must demonstrate proof of non-profit status and this 
proof must be included in their applications (see section IV. 2). Proof 
of non-profit status is any one of the following:
    (a) A reference to the applicant organization's listing in the 
Internal Revenue Service's (IRS) most recent list of tax-exempt 
organizations described in the IRS code.
    (b) A copy of a currently valid IRS tax exemption certificate.
    (c) A statement from a State taxing body, State Attorney General, 
or other appropriate State official certifying that the applicant 
organization has a non-profit status and that none of the net earnings 
accrue to any private shareholders or individuals.
    (d) A certified copy of the organization's certificate of 
incorporation or similar document that clearly establishes non-profit 
status.
    (e) Any of the items in the subparagraphs immediately above for a 
State or national parent organization and a statement signed by the 
parent organization that the applicant organization is a local non-
profit affiliate.
    In addition to demonstrating proof of non-profit status, applicants 
must also demonstrate proof of CDC status. This proof must be included 
in their applications. Proof of CDC status is any one of the following:
     A list of governing board members along with their 
designation as a community resident or business or civic leader; and
     Documentation that the applicant organization has as a 
primary purpose planning, developing or managing low-income housing or 
community development activities. This documentation may include 
incorporation documents or other official documents that identify the 
organization.
    Applicants are cautioned that the ceiling for individual awards is 
$500,000. An application that exceeds the upper value of the dollar 
range specified will be considered ``non-responsive'' and will be 
returned to the applicant without further review.
    Applicants must demonstrate firm and substantial support (financial 
or other support) from one or more locally based philanthropic 
institution(s) and additional support from a consortium of national 
philanthropic institutions, financial institutions and government 
agencies that is strengthening community development and community 
revitalization in urban neighborhoods throughout the nation. OCS 
anticipates that funded projects will require significant financial 
support from other sources.
    Limitations on Current Grantees: Applicants that are currently 
administering previously awarded OCS CED grants for Incremental 
Development Projects (IDP) are not eligible to receive a CDC/NPI 
project grant during the one-year period following the end of the 
project period of the last IDP grant award.

2. Cost Sharing or Matching

    None.

3. Other

    On June 27, 2003 the Office of Management and Budget published in 
the Federal Register a new Federal policy applicable to all Federal 
grant applicants. The policy requires all Federal grant applicants to 
provide a Dun and Bradstreet Data Universal Numbering System (DUNS) 
number when applying for Federal grants or cooperative agreements on or 
after October 1, 2003. The DUNS number will be required whether an 
applicant is submitting a paper application or using the government-
wide electronic portal (www.Grants.gov). A DUNS number will be required 
for every application for a new award or renewal/continuation of an 
award, including applications or plans under formula, entitlement and 
block grant programs, submitted on or after October 1, 2003.
    Please ensure that your organization has a DUNS number. You may 
acquire a DUNS number at no cost by calling the dedicated toll-free 
DUNS number request line on 1-866-705-5711 or you may request a number 
on-line at http://www.dnb.com.
    Applications are cautioned that the ceiling for individual awards 
is $500,000. Applications exceeding the $500,000 threshold will be 
considered non-responsive and returned without review.

IV. Application and Submission Information

IV.1 Address To Request Application Package

    Office of Community Services, Operations Center, 1815 North Fort 
Myer Drive, Suite 300, Arlington, Virginia 22209, E-mail: 
[email protected], Telephone: (800) 281-9519.
    URL to Obtain an Application Package: http://www.acf.hhs.gov/programs/ocs.

IV.2 Content and Form of Application Submission

    This subsection provides detailed instructions for developing the 
application. Please see Section V ``Application Review Information'' 
for additional relevant information.
    You may submit your application to us in either electronic or paper 
format. To submit an application electronically, please use the 
www.Grants.gov site. If you use Grants.gov, you will be able to 
download a copy of the application package, complete it off-line, and 
then upload and submit the application via the Grants.gov site. You may 
not e-mail an electronic copy of a grant application to us.
    Please note the following if you plan to submit your application 
electronically via Grants.gov:
     Electronic submission is voluntary.
     When you enter the Grants.gov site, you will find 
information about submitting an application electronically through the 
site, as well as the hours of operation. We strongly recommend that you 
do not wait until the application deadline date to begin the 
application process through Grants.gov.
     To use Grants.gov, you, as the applicant, must have a DUNS 
Number to register in the Central Contractor Registry (CCR). You should 
allow a minimum of five days to complete the CCR registration.
     You will not receive additional point value because you 
submit a grant application in electronic format, nor

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will we penalize you if you submit an application in paper format.
     You may submit all documents electronically, including all 
information typically included on the SF 424 and all necessary 
assurance and certifications.
     Your application must comply with any page limitation 
requirements described in this program announcement.
     After you electronically submit your application, you will 
receive an automatic acknowledgement from Grants.gov that contains a 
Grants.gov tracking number. The Administration for Children and 
Families will retrieve your application from Grants.gov.
     We may request that you provide original signatures on 
forms at a later date.
     You may access the electronic application for this program 
on www.Grants.gov. You must search for the downloadable application 
package by the CFDA number.
Application Content
    Each application must include the following components:
    1. Table of Contents.
    2. Project Summary/Abstract--A very brief narrative that identifies 
the type of project, the target population and the major elements of 
the work plan.
    3. Objectives and Needs for Assistance--A thorough description of 
the economic situation and needs of residents of the target 
neighborhood(s) and the comprehensive community building or 
neighborhood transformation effort that is planned or currently 
underway in that neighborhood.
    4. Results or Benefits Expected--Identify the results and benefits 
to be derived. For example, the number of new jobs that will be 
targeted for residents.
    5. Approach--An overall project plan including detailed information 
about strategies to be implemented during Phase One and general 
information about strategies planned for Phase Two, as follows:
    (a) Phase One Work Plan--The project work plan should list specific 
activities that the applicant and its philanthropic partner(s) and 
other partners would implement in Phase One. These activities may 
including, for example: (a) Develop and disseminate information and 
knowledge about trends, assets, and needs in the target low-income 
neighborhood(s); (b) Assess issues and factors concerning the overall 
neighborhood transformation process in the targeted neighborhood(s) and 
other areas of the city and evaluate the feasibility of potential job 
creation projects that will address needs in the targeted low-income 
neighborhood(s); (c) Convene meetings and discussion groups that 
include community development practitioners, leaders of other 
community-based organizations including community action agencies and 
faith-based organizations, financial investors and others to discuss 
findings and explore new ideas for neighborhood transformation and 
options for job creation strategies; (d) Develop materials that promote 
and explain the neighborhood transformation effort including the job 
creation component for potential supporters such as investors and 
leaders of other community-based organizations; (e) Implement 
strategies for mobilizing resources for the neighborhood transformation 
effort including the job creation component; (f) Develop organizational 
capacity of the applicant CDC by, for example, collaborating with CDCs 
in other cities that are implementing CDC/NPI projects, collaborating 
with philanthropic institutions that support CDC/NPI projects in other 
cities, hiring staff, training board members, training staff and 
volunteers, recruiting community volunteers, and developing management 
systems; (g) Develop a detailed Phase Two Work Plan for implementing a 
strategy for developing jobs or business ownership opportunities for 
low-income persons in the context of the neighborhood transformation 
strategy.
    (b) Phase Two Work Plan--The project work plan should list and 
discuss specific activities planned for Phase Two. The strongest 
applications will include firm details about specific activities that 
the applicant and/or its national philanthropic partner(s) or other 
partners will implement in Phase Two. The application must include an 
initial rough draft Business Plan for the business(es) or other 
ventures planned for Phase Two. OCS will require grantees to submit a 
final and thorough Business Plan after Phase One and as a condition of 
receiving funds for Phase Two activities. Please see Section VI. Award 
Administration Information for detailed instructions on the format and 
content of the final Business Plan. The following four project 
components need not be fully in place at the time of application, but 
they must be in place before OCS will release funds for Phase Two 
activities: (a) Written commitments from partners other than local 
philanthropic foundations and other organizations; (b) commitments of 
all non-OCS funding; (c) third-party agreements; and (d) acquisition or 
site control of any proposed development site.
    6. Project Assessment/Evaluation Plan--OCS requires applicants to 
include an outline of a project evaluation plan. The outline should 
explain how the applicant proposes to answer the key questions about 
how effectively the project is being/was implemented, whether the 
project activities, or interventions, achieved the expected immediate 
outcomes, and why or why not (the process evaluation); and whether and 
to what extent the project achieved its stated goals, and why or why 
not (the outcome evaluation). Together, the process and outcome 
evaluations should answer the question: ``What did this program 
accomplish and why did it work/not work?'' Applicants should ensure, 
above all, that the evaluation outline presented is consistent with 
their project design. A clear project framework identifies the key 
project assumptions about the target populations and its needs, as well 
as the hypotheses, or expected cause-effect relationships to be tested 
in the project; and the proposed project activities, or interventions 
that will address those needs in ways that will lead to the achievement 
of the project goals of self-sufficiency. It also identifies in advance 
the most important process and outcome measures that will be used to 
identify performance success and expected changes in individual 
participants, the grantee organization, and the community. Finally, the 
outline should provide for prompt reporting, concurrently with the 
semi-annual program progress reports, of lessons learned during the 
course of the project. Each successful applicant must have a third-
party evaluator selected and performing by the time the project work 
begins. Plans for selecting an evaluator should be included in the 
application narrative.
    7. Organizational Profile--A narrative and supporting documents, as 
follows:
    (a) Proof of Non-Profit Status--Documentation about the applicant 
agency's non-profit status. Please include any one of the following:
     A reference to the applicant organization's listing in the 
Internal Revenue Service's (IRS) most recent list of tax-exempt 
organizations described in the IRS code.
     A copy of a currently valid IRS tax exemption certificate.
     A statement from a State taxing body, State Attorney 
General, or other appropriate State official certifying that the 
applicant organization has a non-profit status and that none of the net 
earnings accrue to any private shareholders or individuals.

[[Page 26127]]

     A certified copy of the organization's certificate of 
incorporation or similar document that clearly establishes non-profit 
status.
     Any of the items in the subparagraphs immediately above 
for a State or national parent organization and a statement signed by 
the parent organization that the applicant organization is a local non-
profit affiliate.
    (b) Description of the Applicant's Relationship with a Locally 
Based Philanthropic Institution--A description of the applicant's 
relationship with one or more locally-based national philanthropic 
institution(s) including details about what role the philanthropic 
institution(s) will have in assisting the applicant with all phases of 
the proposed project. Applicants must include clear written commitments 
from the participating philanthropic institution(s) indicating that 
they will work in partnership with the applicant and provide 
significant support for the proposed job creation project.
    (c) Description of the Applicant's Relationship with a National 
Consortium of Philanthropic Institutions--A description of the 
applicant's and its partner locally based philanthropic institution's 
relationship with a national consortium of philanthropic institutions, 
financial services organizations and government agencies that support 
neighborhood transformation in urban places. Applicants must include 
documents showing clear commitment from a national consortium 
indicating that it will work in partnership with the applicant and 
provide significant support for the proposed job creation project.
    (d) Proof of Status as Private Non-Profit Community Development 
Corporation--Proof of status as a CDC. Please include any one of the 
following:
     A list of governing board members along with their 
designation as a community resident or business or civic leader; and
     Documentation that the applicant organization has as a 
primary purpose planning, developing or managing low-income housing or 
community development activities. This documentation may include 
incorporation documents or other official documents that identify the 
organization.
    (e) Proof of Sufficiency of Financial Management System--The 
following documentation: (1) A signed statement from a Certified or 
Licensed Public Accountant as to the sufficiency of the applicant CDC's 
financial management system in accordance with HHS regulation 45 CFR 
part 74; and (2) Financial statements for the CDC for the prior three 
years. If such statements are not available because the CDC is a newly 
formed entity, the application must include a statement to this effect. 
(Note: CDC grantees are responsible for ensuring that all grant funds 
are expended in compliance with applicable federal regulations and 
Federal Office of Management Budget Circulars.)
    8. Budget and Budget Justification--Standard forms and a narrative 
as follows:
    Salary Information and Social Security Numbers: Applicants have the 
option of omitting from the application copies (not the original) 
specific salary rates or amounts for individuals specified in the 
application budget and Social Security Numbers. The copies may include 
summary salary information.
     Completed Standard Form 424--standard form signed by an 
official representative of the applicant CDC who has authority to 
obligate the organization.
     Standard Form 424A--Standard form concerning budget issues 
for non-construction projects.
     Narrative Budget Justification--Narrative information 
about each object class category required under Section B, Standard 
Form 424A.
Application Format
    Applicants should submit one signed original application and two 
additional copies of the same application document.
    Submit application materials on white 8\1/2\ x 11 inch paper only. 
Do not use colored, oversized or folded materials.
    Please do not include organizational brochures or other promotional 
materials, slides, films, clips, etc.
    The font size may be no smaller than 12 pitch and the margins must 
be at least one inch on all sides.
    Number all application pages sequentially throughout the package, 
beginning with the abstract of the proposed project as page number one.
    Please present application materials either in loose-leaf notebooks 
or in folders with pages two-hole punched at the top center and 
fastened separately with a slide paper fastener.
Page Limitation
    The application package including sections for the Table of 
Contents, Project Abstract, and Project Narrative may not exceed 65 
pages. The page limitation does not include the following attachments 
and appendices: Standard Forms for Assurances, Certifications, 
Disclosures, appendices, and any other supplemental documents as 
required in this announcement.
Required Standard Forms
    Applicants requesting financial assistance for a non-construction 
project must sign and return Standard Form 424B, Assurances: Non-
Construction Programs with their applications.
    Applicants must provide a Certification Regarding Lobbying. Prior 
to receiving an award in excess of $100,000, applicants shall furnish 
an executed copy of the lobbying certification. Applicants must sign 
and return the certification with their applications.
    Applicants must make the appropriate certification of their 
compliance with the requirements of the Pro-Children Act of 1994 as 
outlined in Certification Regarding Environmental Tobacco Smoke. By 
signing and submitting the applications, applicants are providing the 
certification and need not mail back a certification form.
    Private, non-profit organizations are encouraged to submit with 
their applications the survey located under ``Grant Related Documents 
and Forms'' titled ``Survey for Private, Non-Profit Grant Applicants.'' 
The forms are located on the Web at http://www.acf.hhs.gov/programs/ofs/forms.htm.

IV.3 Submission Dates and Times

    The closing time and date for receipt of applications is 4:30 p.m. 
(Eastern Standard Time) on June 25, 2004. Mailed or hand carried 
applications received after 4:30 p.m. on the closing date will be 
classified as late.
    Deadline: Mailed applications shall be considered as meeting an 
announced deadline if they are received on or before the deadline time 
and date at the U.S. Department of Health and Human Services, 
Administration for Children and Families, Office of Community Services 
Operations Center, 1815 North Fort Myer Drive, Suite 300, Arlington, 
Virginia 22209. Applicants are responsible for mailing applications 
well in advance, when using all mail services, to ensure that the 
applications are received on or before the deadline time and date.
    Applications hand carried by applicants, applicant couriers, other 
representatives of the applicant, or by overnight/express mail couriers 
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

[[Page 26128]]

Human Services, Administration for Children and Families, Office of 
Community Services Operations Center, 1815 North Fort Myer Drive, Suite 
300, Arlington, Virginia 22209, between Monday and Friday (excluding 
Federal holidays). This address must appear on the envelope/package 
containing the application with the note: ``Attention: Office of 
Community Services Operations Center''. Applicants are cautioned that 
express/overnight mail services do not always deliver as agreed.
    Late applications: Applications that do not meet the criteria above 
will be considered late applications. ACF will notify each late 
applicant that its application will not be considered in the current 
competition.
    Extension of deadlines: ACF may extend application deadlines when 
circumstances such as acts of God (floods, hurricanes, etc.) occur, or 
when there are widespread disruptions of mail service. Determinations 
to extend or waive deadline requirements rest with the Chief Grants 
Management Officer.
    Required Forms:

----------------------------------------------------------------------------------------------------------------
                                                         Required form or
         What to submit             Required content          format                   When to submit
----------------------------------------------------------------------------------------------------------------
Table of Contents...............  A numbered list of   Consistent with      By application due date.
                                   key parts of the     guidance in
                                   application.         ``Application
                                                        Format'' section
                                                        of this
                                                        announcement..
Project Summary/Abstract........  Very brief           Consistent with      By application due date.
                                   narrative that       guidance in the
                                   identifies the       ``Application
                                   type of project,     Content'' sub-
                                   the target           section.
                                   population and the
                                   major elements of
                                   the work plan.
Objectives and Needs for          Narrative that       Consistent with      By application due date.
 Assistance.                       describes the        guidance in
                                   economic situation   ``Application
                                   and needs of         Content'' sub-
                                   residents of the     section and the
                                   target               ``Evaluation
                                   neighborhood(s)      Criteria'' section
                                   and the              of this
                                   comprehensive        announcement.
                                   community building
                                   or neighborhood
                                   transformation
                                   effort that is
                                   planned or
                                   currently underway
                                   in that
                                   neighborhood.
Results or Benefits Expected....  Narrative that       Consistent with      By application due date.
                                   identifies the       guidance in
                                   results and          ``Application
                                   benefits to be       Content'' sub-
                                   derived. For         section and the
                                   example, the         ``Evaluation
                                   number of new jobs   Criteria'' section
                                   that will be         of this
                                   targeted for         announcement.
                                   residents.
Approach........................  Overall Project      Consistent with      By application due date.
                                   Work Plan            guidance in
                                   including plans      ``Application
                                   for Phase One and    Content'' sub-
                                   Phase Two.           section (see
                                                        above) and the
                                                        ``Evaluation
                                                        Criteria'' section
                                                        of this
                                                        announcement.
                                                       The Phase Two Work
                                                        Plan should
                                                        include an initial
                                                        draft Business
                                                        Plan concerning
                                                        the businesses or
                                                        other economic
                                                        ventures planned
                                                        for that phase of
                                                        the project.
Project Assessment/Evaluation     Description of the   Consistent with      By application due date.
 Plan.                             plan to assess       guidance in
                                   project outcomes     ``Application
                                   include: (1)         Content'' sub-
                                   details about the    section and the
                                   evaluation design;   ``Evaluation
                                   (2) information      Criteria'' section
                                   about the proposed   of this
                                   evaluator; and (3)   announcement.
                                   plans for
                                   reporting.
Organizational Profile..........  Description of       Consistent with      By application due date.
                                   organizational       guidance in the
                                   ability including:   ``Additional
                                   (a) Documentation    Information on
                                   of non-profit        Eligibility''
                                   status; (b)          section, the
                                   Description of the   ``Application
                                   applicant's          Content'' sub-
                                   relationship with    section and the
                                   local                ``Evaluation
                                   philanthropic        Criteria'' section
                                   institution; (c)     of this
                                   Description of the   announcement.
                                   applicant's
                                   relationship with
                                   national
                                   consortium of
                                   philanthropic
                                   institutions,
                                   financial service
                                   institutions and
                                   government
                                   agencies; (d)
                                   Proof of Status as
                                   Private Non-Profit
                                   Community
                                   Development
                                   Corporation; and
                                   (e) Proof of
                                   Sufficiency of
                                   Financial
                                   Management System.
Budget and Budget Justification.  Budget information   Consistent with      By application due date.
                                   including: (a)       guidance in
                                   Narrative budget     ``Application
                                   justification; (b)   Content'' section
                                   Completed Standard   of this
                                   Form 424; (c)        announcement.
                                   Completed Standard  See Section VIII
                                   Form 424A.           ``Other
                                                        Information'' for
                                                        guidelines for
                                                        budget and budget
                                                        justifications..
                                                       Required Standard
                                                        Forms are posted
                                                        on the Internet at
                                                        http://www.acf.hhs.gov/programs/ofs/forms.htm.

[[Page 26129]]

 
Certification regarding lobbying  As per required      Required Standard    By application due date.
                                   form.                Forms are posted
                                                        on the Internet at
                                                        http://www.acf.hhs.gov/programs/ofs/forms.htm.
Certification regarding           As per required      Required Standard    By application due date.
 environmental tobacco smoke.      form.                Forms are posted
                                                        on the Internet at
                                                        http://www.acf.hhs.gov/programs/ofs/forms.htm.
----------------------------------------------------------------------------------------------------------------

    Additional Forms: Private-non-profit organizations may submit with 
their applications the additional survey located under ``Grant Related 
Documents and Forms'' titled ``Survey for Private, Non-Profit Grant 
Applicants''.

----------------------------------------------------------------------------------------------------------------
                                                         Required form or
         What to submit             Required content          format                   When to submit
----------------------------------------------------------------------------------------------------------------
Survey for Private, Non-Profit    Per required form..  May be found on      By application due date.
 Grant Applicants.                                      http://www.acf.hhs.gov/programs/ofs/form.htm.
----------------------------------------------------------------------------------------------------------------

IV.4 Intergovernmental Review

State Single Point of Contact (SPOC)
    This program is covered under Executive Order 12372, 
``Intergovernmental Review of Federal Programs,'' and 45 CFR Part 100, 
``Intergovernmental Review of Department of Health and Human Services 
Programs and Activities.'' Under the Order, States may design their own 
processes for reviewing and commenting on proposed Federal assistance 
under covered programs. As of June 20, 2001, the following 
jurisdictions have elected not to participate in the Executive Order 
process. Applicants from these jurisdictions or for projects 
administered by federally-recognized Indian Tribes need take no action 
in regard to E.O. 12372:
    All States and Territories except Alabama, Alaska, Arizona, 
Colorado, Connecticut, Hawaii, Idaho, Indiana, Kansas, Louisiana, 
Massachusetts, Minnesota, Montana, Nebraska, New Jersey, Ohio, 
Oklahoma, Oregon, Pennsylvania, South Dakota, Tennessee, Vermont, 
Virginia, Washington and Wyoming have elected to participate in the 
Executive Order process and have established Single Point of Contacts 
(SPOCs). Applicants from these twenty-five jurisdictions need take no 
action regarding Executive Order 12372.
    Although the jurisdictions listed above no longer participate in 
the process, entities which have met the eligibility requirements of 
the program are still eligible to apply for a grant even if a State, 
Territory, Commonwealth, etc. does not have a SPOC. All remaining 
jurisdictions participate in the Executive Order process and have 
established SPOCs. Applicants from participating jurisdictions should 
contact their SPOCs as soon as possible to alert them about the 
prospective applications and receive instructions. Applicants must 
submit any required material to the SPOCs as soon as possible so that 
the program office can obtain and review SPOC comments as part of the 
award process. The applicant must submit all required materials, if 
any, to the SPOC and indicate the date of this submittal (or the date 
of contact if no submittal is required) on the Standard Form 424, item 
16a. Under 45 CFR 100.8(a)(2), a SPOC has 60 days from the application 
deadline to comment on proposed new or competing continuation awards.
    SPOCs are encouraged to eliminate the submission of routine 
endorsements as official recommendations. Additionally, SPOCs are 
requested to clearly differentiate between mere advisory comments and 
those official State process recommendations which may trigger the 
``accommodate or explain'' rule.
    Comments should be submitted directly to Department of Health and 
Human Services, Administration for Children and Families, Office of 
Grants Management, Division of Discretionary Grants, 370 L'Enfant 
Promenade, SW., Washington, DC 20447. A list of the Single Points of 
Contact for each State and Territory is included with the application 
materials for this announcement.

IV.5 Funding Restrictions

Cost Per Job
    OCS will not fund projects with a cost-per-job that exceeds $10,000 
in OCS Community Economic Development (CED) grant funds. An exception 
will be made if the project includes purchase or major renovation of 
real estate. In this instance, the applicant must explain the factors 
that raise the cost beyond $10,000. In no instance will OCS allow for 
more than $15,000 cost per job in CED funds. Cost per job is calculated 
by dividing the number of jobs to be created by the total grant amount.
National Historic Preservation Act
    If an applicant is proposing a project that will affect a property 
listed in, or eligible for, inclusion in the National Register of 
Historic Places, it must identify this property in the application 
narrative (the Phase One or Phase Two Work Plans) and explain how it 
has complied with the National Historic Preservation Act of 1996, as 
amended. If there is any question as to whether property is listed in 
or eligible for inclusion in the National Register of Historic Places, 
the applicant must consult with the State Historic Preservation Officer 
and describe in the narrative the results of this consultation.
Sub-Contracting or Delegating Projects
    OCS will not consider applications that propose projects where the 
applicant would serve primarily as a conduit of funds to other 
organizations. Grantee CDCs must have a substantive role in 
implementing the proposed project. Grantees may award sub-grants or 
enter into sub-contracts with other organizations for specific services 
or activities.
Number of Projects in Application
    Each application may include only one proposed project.
Prohibited Activities
    OCS will not consider applications that propose to establish either 
a Small

[[Page 26130]]

Business Investment Corporation or a Minority Enterprise Small Business 
Investment Corporation.
    OCS will not consider applications for projects that focus 
primarily on education and job training or that involve training and 
placement for existing vacant jobs. Grantees may use OCS funds to 
support specific job-related training for individuals who have been 
selected for employment in the grant support project.
    OCS will not consider applications for projects that would result 
in the relocation of a business from one geographic area to another 
resulting in job displacement.
    Pre-award costs will not be covered by an award.
    Limitations on Current Grantees: Applicants that are currently 
administering previously awarded OCS CED grants for Incremental 
Development Projects (IDP) are not eligible to receive a CDC/NPI 
project grant during the one-year period following the end of the 
project period of the last IDP grant award.

IV.6 Other Submission Requirements

    Submission by Mail: An Applicant must provide an original 
application with all attachments, signed by an authorized 
representative and two copies. The Application must be received at the 
address below by 4:30 PM Eastern Standard Time on or before the closing 
date. Applications should be mailed to: Department of Health and Human 
Services (HHS), Administration for Children and Families, Office of 
Community Services Operations Center, 1815 Fort Meyer Drive, Suite 300, 
Arlington, Virginia 22209.
    For Hand Delivery: Applicant must provide an original application 
with all attachments, signed by an authorized representative and two 
copies. The Application must be received at the address below by 4:30 
PM Eastern Standard Time on or before the closing date. Applications 
that are hand delivered will be accepted between the hours of 8 a.m. to 
4:30 p.m., Monday through Friday. Applications may be delivered to: 
Department of Health and Human Services (HHS) Administration for 
Children and Families, Office of Community Services Operations Center, 
1815 Fort Meyer Drive, Suite 300, Arlington, Virginia 22209. It is 
strongly recommended that applicants obtain documentation that the 
application was hand delivered on or before the closing date. 
Applicants are cautioned that express/overnight mail services do not 
always deliver as agreed.

V. Application Review Information

1. Criteria

Instructions: ACF Uniform Project Description (UPD)
    The following are instructions and guidelines on how to prepare the 
``project summary/abstract'' and ``Full Project Description'' sections 
of the application. The generic UPD requirement is followed by the 
evaluation criterion specific to the Community Economic Development 
National Philanthropic Institution Projects program. Public Reporting 
for this collection of information is estimated to average 25 hours per 
response, including the time for reviewing instructions, gathering and 
maintaining the data needed, and reviewing the collection information.
    The project description is approved under OMB Control Number 0970-
0139 which expires 3/31/2004.
    An agency may nor conduct or sponsor, and a person is not required 
to respond to, a collection of information unless it displays a 
currently valid OMB control number.
Purpose
    The project description provides a major means by which an 
application is evaluated and ranked to compete with other applications 
for available assistance. The project description should be concise and 
complete and should address the activity for which Federal funds are 
being requested. Supporting documents should be included where they can 
present information clearly and succinctly. In preparing your project 
description, all information requested through each specific evaluation 
criteria should be provided. Awarding offices use this and other 
information in making their funding recommendations. It is important, 
therefore, that this information be included in the application.
Introduction
    Applicants required to submit a full project description shall 
prepare the project description statement in accordance with the 
following instructions and the specified evaluation criteria. The 
instructions give a broad overview of what your project description 
should include while the evaluation criteria expands and clarifies more 
program-specific information that is needed.
Project Summary/Abstract
    Provide a summary of the project description (a page or less) with 
reference to the funding request.
Objectives and Need for Assistance
    Clearly identify the physical, economic, social, financial, 
institutional, and/or other problem(s) requiring a solution. The need 
for assistance must be demonstrated and the principal and subordinate 
objectives of the project must be clearly stated; supporting 
documentation, such as letters of support and testimonials from 
concerned interests other than the applicant, may be included. Any 
relevant data based on planning studies should be included or referred 
to in the endnotes/footnotes. Incorporate demographic data and 
participant/beneficiary information, as needed. In developing the 
project description, the applicant may volunteer or be requested to 
provide information on the total range of projects currently being 
conducted and supported (or to be initiated), some of which may be 
outside the scope of the program announcement.
Results or Benefits Expected
    Identify the results and benefits to be derived. Explain how the 
project will reach the targeted population and how it will benefit 
participants or the community.
Approach
    Outline a plan of action which describes the scope and detail of 
how the proposed work will be accomplished. Account for all functions 
or activities identified in the application. Cite factors which might 
accelerate or decelerate the work and state your reason for taking the 
proposed approach rather than others. Describe any unusual features of 
the project such as design or technological innovations, reductions in 
cost or time, or extraordinary social and community involvement.
    Provide quantitative monthly or quarterly projections of the 
accomplishments to be achieved for each function or activity in, for 
example, such terms as the ``number of people served.'' When 
accomplishments cannot be quantified by activity or function, list them 
in chronological order to show the schedule of accomplishments and 
their target dates.
    If any data is to be collected, maintained, and/or disseminated, 
clearance may be required from the U.S. Office of Management and Budget 
(OMB). This clearance pertains to any ``collection of information that 
is conducted or sponsored by ACF.''
    List organizations, cooperating entities, consultants, or other key 
individuals who will work on the

[[Page 26131]]

project along with a short description of the nature of their effort or 
contribution.
Evaluation
    Provide a narrative addressing how the results of the project and 
the conduct of the project will be evaluated. In addressing the 
evaluation of results, state how you will determine the extent to which 
the project has achieved its stated objectives and the extent to which 
the accomplishment of objectives can be attributed to the project. 
Discuss the criteria to be used to evaluate results, and explain the 
methodology that will be used to determine if the needs identified and 
discussed are being met and if the project results and benefits are 
being achieved. With respect to the conduct of the project, define the 
procedures to be employed to determine whether the project is being 
conducted in a manner consistent with the work plan presented and 
discuss the impact of the project's various activities on the project's 
effectiveness.
Organizational Profiles
    Provide information on the applicant organization(s) and 
cooperating partners such as organizational charts, financial 
statements, audit reports, documentation of professional accreditation, 
information on compliance with Federal/State/local government 
standards, documentation of experience in the program area, and other 
pertinent information. A non-profit agency can accomplish this by 
providing a copy of the applicant's listing in the Internal Revenue 
Service's (IRS) most recent list of tax-exempt organizations described 
in Section 501(c)(3) of the IRS code, or by providing a copy of the 
currently valid IRS tax exemption certificate, or by providing a copy 
of the articles of incorporation bearing the seal of the State in which 
the corporation or association is domiciled.
Budget and Budget Justification
    Provide line item detail and detailed calculations for each budget 
object class identified on the Budget Information form. Detailed 
calculations must include estimation methods, quantities, unit costs, 
and other similar quantitative detail sufficient for the calculation to 
be duplicated. The detailed budget must also include a breakout by the 
funding sources identified in Block 15 of the SF-424.
    Provide a narrative budget justification that describes how the 
categorical costs are derived. Discuss the necessity, reasonableness, 
and allocability of the proposed costs.
Evaluation Criterion I: Organizational Profiles (Maximum: 35 Points)
    Factors:
    (1) Organizational Ability and Facilities/Resources. The extent to 
which the application presents compelling information that the 
applicant CDC will successfully implement business development, 
commercial development, physical development, or financial service 
projects. The extent to which the applicant describes its facilities 
and other key resources (i.e., space and equipment to carry out the 
work plan).
    (2) Staff skills, resources and responsibilities. The extent to 
which the application shows that the proposed staff has skills and 
experience appropriate for the project and that the staff will have 
sufficient resources and organizational support to assure timely 
implementation of the project in a cost-effective manner. For example, 
that the proposed Project Director has sufficient experience, skills 
and professional capabilities to manage this project and, if the 
Project Director or other key staff has not yet been identified, the 
extent to which the application describes the process that will be used 
to hire staff for key positions.
    (3) Vital Partnerships with Philanthropic Institutions. The extent 
to which the applicant provides clear evidence that it is working 
closely with one or more local philanthropic institution(s) and a 
national consortium of philanthropic institutions, financial services 
organizations and government agencies. The extent to which the 
applicant provides evidence of a history of strong and productive 
partnership with a local philanthropic institution by, for example: 
Evidence of collaborative efforts; evidence of past or current support 
(financial or other support) from the philanthropic institution(s) and 
the national consortium; and information that the philanthropic 
institution(s) and the national consortium would provide additional 
resources for the proposed project.
Evaluation Criterion II: Approach (Maximum: 25 Points)
    Factors:
    (1) Overall project plan. The extent to which the application 
presents a clear and logical plan that lists the major tasks and 
explains how it will succeed in accomplishing the key objectives (e.g., 
the development of businesses and creation of jobs for low-income 
persons) during the Project Period. For example, the degree to which 
the application describes quarterly time targets for key tasks.
    (2) Plan for Phase One. The extent to which the application 
describes a clear plan for the initial phase of the project. For 
example, a thorough presentation of a clear approach for developing 
information about the target neighborhood(s) and identifying 
appropriate job-creation strategies for low-income people in that area; 
strategies for promoting the overall neighborhood transformation 
project and involving other community-based organizations and other 
potential investors in the planning for the project; tactics for 
developing the organizational capacity of the applicant CDC (if 
warranted); and plans for creating an effective work plan for Phase 
Two.
    (3) Plan for Phase Two. The extent to which the application 
describes a clear plan for Phase Two. For example, the extent to which 
the applicant describes firm details about specific activities that the 
applicant and/or its national philanthropic partner(s) or other 
partners will implement in Phase Two.
    (4) Draft Business Plan. The extent to which the application 
describes an initial draft Business Plan for businesses or other 
ventures planned for Phase Two.
Evaluation Criterion III: Objectives and Need for Assistance (Maximum: 
25 Points)
a. Description of and Responsiveness to Needs
    Factors:
    (1) Description of needs. The extent to which the application 
documents the needs of the target neighborhood(s). For example, the 
extent to which the application documents that both the unemployment 
rate and poverty level for the targeted neighborhood or community are 
equal or greater than the national level and cites the most recent 
available statistics from published sources, e.g., the recent U.S. 
Census or updates, the State, county, city, election district, and 
other information.
    (2) Responsiveness to needs. The extent to which the application is 
responsive to needs of the target neighborhoods. For example, the 
extent to which the application describes the critical issues or 
potential problems that might have a negative affect on the project. 
Furthermore, the extent to which the application describes how the 
applicant would address these issues.
b. Resource Mobilization and Services Integration:
    Factors:
    (1) Support from Key Organizations. The extent to which the 
application describes how the applicant would

[[Page 26132]]

mobilize needed assistance from public and private sources. For 
example, the extent to which the application describes funding or other 
vital resources including in-kind contributions from non-federal 
sources for the project.
    (2) Coordination with Partner Agencies and Private Organizations. 
The extent to which the application demonstrates that the applicant has 
commitments or agreements with local agencies responsible for 
administering child support enforcement, the local Temporary Assistance 
for Needy Families (TANF) program or the local employment education, 
and training programs to ensure that welfare recipients, at-risk youth, 
displaced workers, public housing tenants, homeless and low-income 
individuals, and low-income custodial and non-custodial parents will be 
trained and placed in the newly created jobs.
Evaluation Criterion IV: Results or Benefits Expected (Maximum: 10 
Points)
a. Benefits Expected
    Factors:
    (1) Measurable Results. The extent to which the application will 
produce permanent and measurable results including, but not limited to, 
employment and business development opportunities that reduce poverty 
and the need for TANF assistance in the community and thus enable 
families to be economically self-sufficient.
    (2) Permanent Employment for Area Residents. The extent to which 
the applicant demonstrates that the project will, during the project 
period, result in new, permanent jobs or maintain permanent jobs for 
low-income residents at a cost-per-job not to exceed $10,000 in OCS 
funds. For example, the extent to which the applicant documents that 
the jobs to be created for low-income people have career development 
opportunities that will promote self-sufficiency.
b. Evaluation Design
    Factors:
    (1) Evaluation Design. The extent to which the application presents 
a through outline of an evaluation plan that identifies the principal 
cause-and-effect relationships to be tested, and that demonstrates the 
applicant's understanding of the role and purpose of both process and 
outcome evaluations. For example, the extent to which the application 
indicates that the applicant is committed to the selection of a third-
party evaluator approved by OCS. Furthermore, the extent to which the 
applicant demonstrates that they will be able to complete a final 
evaluation design and plan, in collaboration with the approved 
evaluator and the OCS Evaluation Technical Assistance provider during 
the six-month start-up period of the project.
    (2) Third-Party Evaluator. The extent to which the applicant 
identifies and describes a proposed third-party evaluator and 
demonstrates that the proposed evaluator is knowledgeable about, and 
has experience in, conducting process and outcome evaluations in the 
job creation field, and has a thorough understanding of the range and 
complexity of the problems faced by the target population.
    (3) Project Reporting. The extent to which the application presents 
a reporting format based on its proposed activities and their 
effectiveness. For example, the extent to which the applicant proposes 
to submit semi-annual program progress reports that will provide OCS 
with insights and lessons learned concerning the various aspects of the 
work plan, such as recruitment, training, support, public-private 
partnerships, and coordination with other community resources, as they 
may be relevant to the proposed project.
Criterion V: Budget and Budget Justification (Maximum: 5 Points)
    Factors:
    (1) Budget Amount. The extent to which the applicant seeks funding 
in an amount that is commensurate with the level of effort necessary to 
accomplish the goals and objectives of the project. For example, the 
extent to which the estimated cost to the government of the project is 
reasonable in relation to the anticipated results.
    (2) Budget Detail. The extent to which the application includes a 
detailed budget breakdown and a narrative justification for each of the 
budget categories in the SF-424A. For example, the extent to which the 
applicant presents a reasonable administrative cost.

V.2 Review and Selection Process

OCS Evaluation of Applications
    Applications that pass the initial program eligibility screening 
will be reviewed and rated by a panel based on the program elements and 
review criteria presented in relevant sections of this program 
announcement.
    The review criteria are designed to enable the review panel to 
assess the quality of a proposed project and determine the likelihood 
of its success. The criteria are closely related to each other and are 
considered as a whole in judging the overall quality of an application. 
The review panel awards points only to applications that are responsive 
to the program elements and relevant review criteria within the context 
of this program announcement.
    The OCS Director and program staff use the reviewer scores when 
considering competing applications. Reviewer scores will weigh heavily 
in funding decisions, but will not be the only factors considered.
    Applications generally will be considered in order of the average 
scores assigned by the review panel. Because other important factors 
are taken into consideration, highly ranked applications are not 
guaranteed funding. These other considerations include, for example: 
the timely and proper completion by the applicant of projects funded 
with OCS funds granted in the last five (5) years; comments of 
reviewers and government officials; staff evaluation and input; amount 
and duration of the grant requested and the proposed project's 
consistency and harmony with OCS goals and policy; geographic 
distribution of applications; previous program performance of 
applicants; compliance with grant terms under previous HHS grants, 
including the actual dedication to program of mobilized resources as 
set forth in project applications; audit reports; investigative 
reports; and applicant's progress in resolving any final audit 
disallowance on previous OCS or other Federal agency grants.
    Funding Considerations: In cases where an application ranks high 
and is competitive, the following may apply: (a) Previous performance 
of the applicant is an important determining factor in the grant award 
decision; (b) OCS may conduct a pre-award site visit to assess an 
applicant prior to making a final determination on the grant award.

VI. Award Administration Information

VI.1 Award Notices

    Following approval of the applications selected for funding, notice 
of project approval and authority to draw down projects will be made in 
writing. The official award document is the Financial Assistance Award, 
which provides the amount of Federal funds approved for use in the 
project, the project and budget periods for which support is provided, 
the terms and conditions of the award, and the total project period for 
which support is contemplated. The Financial Assistance Award will be 
signed by the Grants Officer.

[[Page 26133]]

VI.2 Administrative and National Policy Requirements

    Grantees are subject to the requirements in 45 CFR part 74 (non-
governmental) or 45 CFR part 92 (governmental).
    Upon successful completion of Phase I, the final and thorough Phase 
II Business Plan is due. Applicants NEED NOT submit this information 
with their applications. However, applicants should note that this 
information will be required prior to receiving funds for Phase II 
activities. The Phase II Business Plan must follow the following format 
and include the following information:
    (1) Executive Summary.
    (2) Description of the business: The business as a legal entity and 
its general business category. Business activities must be described by 
Standard Industrial Codes (SIC) using the North American Industry 
Classification System (NAICS) and jobs by occupational classification. 
This information is published by the U.S. Department of Commerce in the 
Statistical Abstract of the United States, 1998, Tables No. 679 and 
680. These tables include information necessary to meet this 
requirement.
    (3) Description of the industry, current status and prospects.
    (4) Products and services, including detailed descriptions of:
    (a) Products or services to be sold;
    (b) Proprietary position of any of the product, e.g., patents, 
copyright, trade secrets;
    (c) Features of the product or service that may give it an 
advantage over the competition;
    (5) Market Research: This section describes the research conducted 
to assure that the business has a substantial market to develop and 
achieve sales in the face of competition. This includes researching:
    (a) Customer base: Describe the actual and potential purchasers for 
the product or service by market segment.
    (b) Market size and trends: Describe the site of the current total 
market for the product or service offered;
    (c) Competition: Provide an assessment of the strengths and 
weaknesses of the competition in the current market;
    (d) Estimated market share and sales: Describe the characteristics 
of the product or service that will make it competitive in the current 
market;
    (6) Marketing Plan: The marketing plan details the product, 
pricing, distribution, and promotion strategies that will be used to 
achieve the estimated market share and sales projections. The marketing 
plan must describe what is to be done, how it will be done and who will 
do it. The plan addresses overall marketing, strategy, packaging, 
service and warranty, pricing, distribution and promotion.
    (7) Design and Development Plans: If the product, process or 
service of the proposed venture requires any design and development 
before it is ready to be placed on the market, describe the nature, 
extent and cost of this work. The section covers items such as 
development status and tasks, difficulties and risks, product 
improvement and new products and costs.
    (8) Operations Plan: An operations plan describes the kind of 
facilities, site location, space, capital equipment and labor force 
(part and/or full time and wage structure) that are required to provide 
the company's product or service.
    (9) Management Team: This section describes the technical, 
managerial and business skills and experience to be brought to the 
project. It is a description of key management personnel and their 
primary duties; compensation and/or ownership; the organizational 
structure and placement of this proposed project within the 
organization; the board of directors; management assistance and 
training needs; and supporting professional services.
    (10) Overall Schedule: This section is the implementation plan 
which shows the timing and interrelationships of the major events or 
benchmarks necessary to launch the venture and realize its objectives. 
This includes a month-by-month schedule of activities such as product 
development, market planning, sales programs, production and 
operations. If the proposed project is for construction, this section 
lays out timeframes for conduct of predevelopment, architectural, 
engineering and environmental and other studies, and acquisition of 
permits for building, use and occupancy that are required for the 
project.
    (11) Job Creation: This section describes the job creation 
activities and projections expected as a result of this project. This 
includes a description of the strategy that will be used to identify 
and hire individuals who are low-income, including those on TANF. This 
section includes the following:
    (a) The number of permanent jobs that will be created during the 
project period, with particular emphasis on jobs for low-income 
individuals.
    (b) For low-income individuals, the number of jobs that will be 
filled by low income individuals (this must be at least 60 percent of 
all jobs created); the number of jobs that have career development 
opportunities and a description of those jobs; the number of jobs that 
will be filled by individuals receiving TANF; the annual salary 
expected for each person employed.
    (c) For low income individuals who become self-employed, the number 
of self-employed and other ownership opportunities created; specific 
steps to be taken including on-going management support and technical 
assistance provided by the grantee or a third party to develop and 
sustain self-employment after the businesses are in place; and expected 
net profit after deductions of business expenses.

    Note: OCS will not recognize job equivalents nor job counts 
based on economic multiplier functions; jobs must be specifically 
identified.

    (12) Financial Plan: The financial plan demonstrates the economic 
supports underpinning the project. It shows the project's potential and 
the timetable for financial self-sufficiency. The following exhibits 
must be submitted for the first three years of the business's 
operation:
    (a) Profit and Loss Forecasts--quarterly for each year;
    (b) Cash Flow Projections--quarterly for each year;
    (c) Pro forma balance sheets--quarterly for each year;
    (d) Sources and Use of Funds Statement for all funds available to 
the project;
    (e) Brief summary discussing any further capital requirements and 
methods or projected methods for obtaining needed resources.
    (13) Critical Risks and Assumptions: This section covers the risks 
faced by the project and assumptions surrounding them. This includes a 
description of the risks and critical assumptions relating to the 
industry, the venture, its personnel, the product or service market 
appeal, and the timing and financing of the venture.
    (14) Community Benefits: This section describes other economic and 
non-economic benefits to the community such as development of a 
community's physical assets; provision of needed, but currently 
unsupplied, services or products to the community; or improvement in 
the living environment.

VI.3 Reporting

    All grantees are required to submit semi-annual program and 
financial reports (SF-269) with a final report due 90 days after the 
project end date. A suggested format for the program report will be 
sent to all grantees after the awards are made.

[[Page 26134]]

VII. Agency Contacts

Program Office Contact

    Debbie Brown, Office of Community Services, 370 L'Enfant Promenade, 
SW., Suite 500 West, Aerospace Building, Washington, DC 20447-0002, E-
mail: [email protected], Telephone: (202) 401-3446.

Grants Management Office Contact

    Barbara Ziegler Johnson, Office of Grants Management, Division of 
Discretionary Grants, 370 L'Enfant Promenade, SW., Aerospace Building, 
Washington, DC 20447-0002, E-mail: [email protected], 
Telephone: (202) 401-4646.

General Contact

    Office of Community Services, Operations Center, 1815 North Fort 
Myer Drive, Suite 300, Arlington, Virginia 22209, E-mail: 
[email protected], Telephone: (800) 281-9519.

VIII. Other Information

    Additional information about this program and its purpose can be 
located on the following Web site: http://www.acf.hhs.gov/programs/ocs.

    Dated: April 29, 2004.
Clarence H. Carter,
Director, Office of Community Services.
[FR Doc. 04-10555 Filed 5-10-04; 8:45 am]
BILLING CODE 4184-01-P