[Federal Register Volume 69, Number 158 (Tuesday, August 17, 2004)]
[Notices]
[Pages 51064-51068]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-18761]


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DEPARTMENT OF COMMERCE

Minority Business Development Agency

[Docket No. 000724217-4236-10]


Solicitation of Applications for the Minority Business 
Development Center (MBDC) Program

AGENCY: Minority Business Development Agency, DOC.

ACTION: Notice.

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[[Page 51065]]

SUMMARY: In accordance with Executive Order 11625 and 15 U.S.C. 1512, 
the Minority Business Development Agency (MBDA) is soliciting 
competitive applications from organizations to operate Minority 
Business Development Centers (MBDCs) under its Minority Business 
Development Center Program in the following geographic areas: Honolulu, 
Oklahoma City, and Miami/Ft. Lauderdale.
    In order to receive consideration, applicants must comply with all 
information and requirements contained in the Federal Funding 
Opportunity Announcement. For-profit entities (including sole 
proprietorships and corporations), non-profit organizations, state and 
local government entities, American Indian Tribes and educational 
institutions are eligible to operate MBDCs.
    The MBDC Program requires MBDC staff to provide standardized 
business assistance services to rapid growth potential minority 
businesses directly; to develop a network of strategic partnerships; to 
charge client fees; and to provide strategic business consulting. These 
requirements will be used to generate increased results with respect to 
financing and contracts awarded to minority-owned firms and thus, are a 
key component of this program. The MBDC Program will concentrate on 
rapid growth potential minority business enterprises (MBEs), e.g., 
those generating $500,000 or more in annual revenues or capable of 
generating significant employment and long-term economic growth. The 
MBDC Program shall continue to leverage telecommunications technology, 
including the Internet, and a variety of online computer-based 
resources to dramatically increase the level of service that the MBDC 
can provide to minority-owned firms, including micro-enterprises.

DATES: The closing date for submission of applications is September 21, 
2004. Completed applications must be received by MBDA no later than 5 
p.m. Eastern Daylight Savings Time at the address below. Applications 
received after the closing date and time will not be considered.
    Anticipated time for processing of applications is one hundred 
twenty (120) days from the date of publication of this notice.
    A pre-application teleconference will be held on August 25, 2004, 
for the MBDC project solicitations.
    MBDA anticipates that awards for the MBDC program will be made with 
a start date of January 1, 2005.

ADDRESSES: If the application is mailed by the applicant or its 
representative, they must submit one (1) signed original plus two (2) 
copies of the application. Completed application packages must be 
mailed to: Office of Business Development, Office of Executive 
Secretariat, HCHB, Room 5063, Minority Business Development Agency, 
U.S. Department of Commerce, 14th Street and Constitution Avenue, NW., 
Washington, DC 20230.
    If the application is hand-delivered by the applicant or his/her 
representative, one (1) signed original plus two (2) copies of the 
application must be delivered to: U.S. Department of Commerce, HCHB, 
Room 1874, Entrance 10, 15th Street, NW., Washington, DC, 
located between Pennsylvania and Constitution Avenues.
    If applying on-line at http://www.mbda.gov, all sections of the 
application (Program Narrative, SF-424, SF-424A, SF-424B, SF-LLL, CD-
346, and CD-511) must be completed in order for the application to be 
considered. In addition to applying on-line, you must also hand-deliver 
or mail one original plus two (2) copies of only the pages that require 
original signatures by the closing date and time stated above.

FOR FURTHER INFORMATION CONTACT: For a copy of the Federal Funding 
Opportunity Announcement as well as further information (including 
Frequently Asked Questions/Answers, Pre-Application teleconference, 
etc.), please visit MBDA's Minority Business Internet Portal (MBDA 
Portal) at http://www.mbda.gov or contact the appropriate regional 
office listed below. A printed application package can also be obtained 
by contacting the specified MBDA National Enterprise Center (NEC) for 
the geographic service area in which the project will be located (see 
Geographic Service Area in this notice).

Regional Agency Contacts:

    1. MBDC Application: Honolulu. Linda Marmolejo, Regional Director, 
San Francisco National Enterprise Center, Minority Business Development 
Agency, U.S. Department of Commerce, 221 Main Street, Room 1280, San 
Francisco, CA 94105, 415-744-3001.
    2. MBDC Application: Oklahoma City. John F. Iglehart, Regional 
Director, Dallas National Enterprise Center, Minority Business 
Development Agency, U.S. Department of Commerce, 100 Commerce Street, 
Room 7B-23, Dallas, Texas 75242, 214-767-8001.
    3. MBDC Application: Miami/Ft. Lauderdale. Robert Henderson, 
Regional Director, Atlanta National Enterprise Center, Minority 
Business Development Agency, U.S. Department of Commerce, 401 W. 
Peachtree Street, NW., Suite 1715, Atlanta, GA 30308-3516, 404-730-
3300.

SUPPLEMENTARY INFORMATION:

Electronic Access

    The full text Federal Funding Opportunity Announcement for the MBDC 
program is available via Web site at http://www.mbda.gov or by 
contacting the MBDA representative identified above. An abbreviated 
announcement will also be available through Grants.gov at http://www.Grants.gov.
    Applicants are encouraged to submit their proposal electronically 
via the Internet and mail or hand-deliver only the pages that require 
original signatures by the closing date and time, as stated in this 
Notice. Applicants may submit their applications on the MBDA Portal 
located at http://www.mbda.gov. All required forms are located at this 
web address. However, the following paper forms must be submitted with 
original signatures in conjunction with any electronic submissions by 
the closing date and time stated in this Notice: (1) SF-424, 
Application for Federal Assistance; (2) SF-424B, Assurances--Non-
Construction Programs; (3) SF-LLL (Rev. 7-97) (if applicable), 
Disclosure of Lobbying Activities; (4) Department of Commerce Form CD-
346 (if applicable), Application for Funding Assistance; and, (5) CD-
511, Certifications Regarding Debarment, Suspension and Other 
Responsibility Matters: Drug-Free Workplace Requirements and Lobbying.

Funding Availability

    The total award period is two (2) years with a third year option. 
MBDA anticipates a total of approximately $738,750 will be available in 
FY 2005 for Federal assistance under this program and approximately 
$738,750 for FY 2006 and possibly $738,750 for FY 2007 to be applied in 
the optional third year of funding under this program. Applicants are 
hereby given notice that funds have not yet been appropriated for this 
program. In no event will MBDA or the Department of Commerce (DoC) be 
responsible for proposal preparation costs if this program fails to 
receive funding or is cancelled because of other agency priorities.
    Financial assistance awards under this program may range from 
$155,000 to $338,750 in Federal funding per year based upon minority 
population, the size of the market and its need for MBDA resources. 
Applicants must submit project plans and budgets for each of the two 
years. Projects will be

[[Page 51066]]

funded for no more than one year at a time. Project proposals accepted 
for funding will not compete for funding in subsequent budget periods 
within the approved award period. Second year funding will depend upon 
first year satisfactory performance by the award recipient. Funding for 
the subsequent third year will be at the sole discretion of the MBDA 
and the DoC, and only those MBDC's achieving outstanding performance 
ratings for each prior program year will be eligible for continued 
funding. All funding periods are subject to the availability of funds 
to support the continuation of the project, DoC and Agency priorities. 
Publication of this notice does not obligate MBDA or DoC to award any 
specific cooperative agreement or to obligate all or any part of 
available funds.

    Authority: Executive Order 11625 and 15 U.S.C. 1512.

    Catalog of Federal Domestic Assistance (CFDA): 11.800 Minority 
Business Development Center Program.

Eligibility

    For-profit entities (including sole-proprietorships, partnership, 
and corporations), and non-profit organizations, state and local 
government entities, American Indian Tribes, and educational 
institutions are eligible to operate MBDCs.

Program Description

    In accordance with Executive Order 11625 and 15 U.S.C. 1512, MBDA 
is soliciting competitive applications from organizations for 
cooperative agreements to operate MBDCs under its MBDC program in the 
following geographic service areas: Honolulu, Oklahoma City and Miami/
Ft. Lauderdale.
    The MBDC program requires MBDC staff to provide standardized 
business assistance services to rapid growth potential minority 
businesses directly; to develop a network of strategic partnerships; to 
charge client fees; and to provide strategic business consulting. These 
requirements will be used to generate increased results with respect to 
financing and contracts awarded to minority-owned firms and thus, are a 
key component of this program.
    The MBDC program will concentrate on rapid growth potential 
minority business enterprises (MBEs), e.g., those generating $500,000 
or more in annual revenues or capable of generating significant 
employment and long-term economic growth. The MBDC program shall 
continue to leverage telecommunications technology, including the 
Internet, and a variety of online computer-based resources to 
dramatically increase the level of service that the MBDC can provide to 
minority-owned firms, including micro-enterprises.
    The MBDC program incorporates an entrepreneurial approach to 
building market stability and improving the quality of services 
delivered. This strategy expands the reach of the MBDC by requiring 
project operators to develop and build upon strategic alliances with 
public and private sector partners, as a means of serving the growing 
numbers of minority firms with rapid growth potential within the 
project's geographic service area. In addition, MBDA will establish 
specialized business consulting training programs to support the MBDC 
client assistance services. These MBDC training programs are designed 
specifically to foster growth assistance to its clients. The MBDC will 
also encourage increased collaboration and client/non-client referrals 
among the MBDA-sponsored networks. This will provide a comprehensive 
approach to serving the emerging sector of the minority business 
community.
    The MBDC will operate through the use of trained professional 
business consultants who will assist minority entrepreneurs through 
direct client engagements.
    Entrepreneurs eligible for assistance under the MBDC Program are 
African Americans, Puerto Ricans, Spanish-speaking Americans, Aleuts, 
Asian Pacific Americans, Asian Indians, Native Americans, Eskimos and 
Hasidic Jews.
    As part of its strategy for continuous improvement, the MBDC shall 
expand its delivery capacity to all minority firms, with greater 
emphasis on emerging/rapid growth-potential minority firms capable of 
impacting economic growth and employment. MBDA wants to ensure that 
MBDC clients are receiving a consistent level of service throughout its 
funded network. To that end, MBDA will require MBDC consultants to 
attend a series of training courses designed to achieve standardized 
services and quality expectations.

Selection Procedures

    Prior to the formal paneling process, each application will receive 
an initial screening to ensure that all required forms, signatures and 
documentation are present. Each application will receive an 
independent, objective review by a panel qualified to evaluate the 
applications submitted. MBDA anticipates that the review panel will be 
made up of at least three independent reviewers who are Federal 
employees who will review all applications based on the above 
evaluation criteria. Each reviewer will evaluate and provide a score 
for each proposal. The National Director of MBDA makes the final 
recommendation to the Department of Commerce Grants Officer regarding 
the funding of applications, taking into account the following 
selection criteria:
    1. The evaluations and rankings of the independent review panel;
    2. The following funding priorities: (a) Identifying and working to 
eliminate barriers which limit the access of minority businesses to 
markets and capital; (b) identifying and working to meet the special 
needs of minority businesses seeking to obtain large-scale contracts 
(in excess of $500,000) with institutional customers; and (c) promoting 
the understanding and use of Electronic Commerce by the minority 
business community. The National Director or his designee reserves the 
right to conduct a site visit (subject to the availability of funding) 
to applicant organizations receiving at least 70% of the total points 
available for each evaluation criterion, in order to make a better 
assessment of the organization's capability to achieve the three 
funding priorities.
    3. The availability of funding.

Evaluation Criteria

    Proposals will be evaluated and applicants will be selected based 
on the following criteria. An application must receive at least 70% of 
the total points available for each evaluation criterion, in order for 
the application to be considered for funding.

1. Applicant Capability (45 Points)

    The applicant's proposal will be evaluated with respect to the 
applicant firm's experience and expertise in providing the work 
requirements listed. Specifically, the proposals will be evaluated as 
follows:
     MBE Community--experience in and knowledge of the minority 
business sector and strategies for enhancing its growth and expansion 
(5 points);
     Business Consulting--experience in and knowledge of 
business consulting of rapid growth-potential minority firms (10 
points);
     Financing--experience in and knowledge of the preparation 
and formulation of successful financial transactions (5 points);
     Procurements and Contracting--experience in and knowledge 
of the public and private sector contracting opportunities for minority 
businesses (5 points);
     Financing Networks--resources and professional 
relationships within the

[[Page 51067]]

corporate, banking and investment community that may be beneficial to 
minority-owned firms (5 points);
     MBE Advocacy--experience and expertise in advocating on 
behalf of minority businesses, both as to specific transactions in 
which a minority business seeks to engage, and as to broad market 
advocacy for the benefit of the minority community at large (5 points); 
and
     Key Staff--assessment of the qualifications, experience 
and proposed role of staff who will operate the MBDC. In particular, an 
assessment will be made to determine whether proposed staff possess the 
expertise in utilizing information systems. (10 points).

2. Resources (20 Points)

    The applicant's proposal will be evaluated according to the 
following criteria:
     Resources--discuss those resources (not included as part 
of the cost-sharing arrangement) that will be used. (10 points);
     Partners--discuss how you plan to establish and maintain 
the network of five (5) Strategic Partners (5 points);
     Equipment--discuss how you plan to accomplish the computer 
hardware and software requirements (5 points).

3. Techniques and Methodologies (25 Points)

    The applicant's proposal will be evaluated as follows:
     Performance Measures--relate each performance measure to 
the financial, information and market resources available in the 
geographic service area to the applicant and how the goals will be met. 
Specific attention should be placed on the Dollar Value of 
Transactions. This goal represents the sum of (a) Dollar Value of 
Financial Transactions and (b) Dollar Value of Gross Receipts. When 
proposing the minimum goal under Dollar Value of Transactions, the 
applicant is given the flexibility to address the percentage breakdown 
for items (a) and (b) above within a specific range--not more than 60% 
and not less than 40%. The applicant should consider existing market 
conditions and its strategy to achieve the goal. The applicant may vary 
the percentage breakdown for items (a) and (b) above as long as the sum 
meets the required goal as provided by MBDA in this Notice. (15 points)
     Plan of Action--provide specific detail on how the 
applicant will start operations. MBDCs have thirty (30) days to become 
fully operational after an award is made. Fully operational means that 
all staff are hired, all signs are up, all items of furniture and 
equipment are in place and operational, all necessary forms are 
developed (e.g., client engagement letters, other standard 
correspondence, etc.), and the center is ready to open its doors to the 
public (5 points);
     Work Requirement Execution Plan--The applicant will be 
evaluated on how effectively and efficiently all staff time will be 
used to achieve the work requirements (5 points).

4. Proposed Budget and Supporting Budget Narrative (10 Points)

    The applicant's proposal will be evaluated on the following sub-
criteria:
     Reasonableness, allowability and allocability of costs (5 
points).
     Proposed cost sharing of 15% is required. The non-Federal 
share must be adequately documented, including how client fees will be 
used to meet the cost-share (5 points).

Bonus Points

    Proposals with cost sharing which exceeds 15% will be awarded bonus 
points on the following scale: 16-20%--1 point; 21-25%--2 points; 26-
30%--3 points; 31-35%--4 points; and over 36%--5 points.

Matching Requirements

    Cost sharing of at least 15% is required. Cost sharing is the 
portion of the project cost not borne by the Federal Government. 
Applicants must meet this requirement in client fees and any one or 
more of remaining three means or a combination thereof: (1) Client fees 
(mandatory); (2) cash contributions; (3) non-cash applicant 
contributions; and/or (4) third party in-kind contributions.
    The MBDC must charge client fees for services rendered. The fees 
may range from $10 to $60 per hour based on the gross receipts of the 
client's business ranging from $0 to $5 million and above. The MBDC 
must comply with the following policy restrictions when charging client 
service fees: (1) Client fees charged for one-on-one assistance must be 
based on a rate of $100 per hour, (2) the MBDC must set fee rates based 
on the following chart:

----------------------------------------------------------------------------------------------------------------
                                                                   Base rate for    Percent of
                    Gross receipts of client                         services      cost borne by  Client fee per
                                                                     rendered         client           hour
----------------------------------------------------------------------------------------------------------------
$0-99,999.......................................................         $100.00             10%          $10.00
$100,000-299,999................................................          100.00             20%           20.00
$300,000-999,999................................................          100.00             30%           30.00
$1 Million-2,999,999............................................          100.00             40%           40.00
$3 Million-4,999,999............................................          100.00             50%           50.00
$5 Million and Above............................................          100.00             60%           60.00
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(3) the MBDC must contribute cash for uncollected fees that were 
included as part of the cost sharing contribution committed for this 
award, and (4) client fees applied directly to the award's cost sharing 
requirement must be used in furtherance of the program objectives.

Intergovernmental Review

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

Universal Identifier

    Applicants should be aware that they may be required to provide a 
Dun and Bradstreet Data Universal Numbering System (DUNS) number during 
the application process. See the June 27, 2003 (68 FR 38402) Federal 
Register notice for additional information. Organizations can receive a 
DUNS number at no cost by calling the dedicated toll-free DUNS Number 
request line at 1-866-705-5711 or on MBDA's Web site at www.mbda.gov.

Department of Commerce Pre-Award Notification Requirements for Grants 
and Cooperative Agreements

    The Department of Commerce Pre-Award Notification Requirements for 
Grants and Cooperative Agreements contained in the Federal Register 
notice of October 1, 2001 (66 FR 49917), as amended by the Federal 
Register notice published on October 30, 2002 (67 FR 66109), are 
applicable to this solicitation.

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Application Forms and Package

    One (1) original and two (2) signed copies of the application must 
consist of: Standard Forms 424, Application for Federal Assistance; 
424A, Budget Information-Non-Construction Programs; and 424B, 
Assurances-Non-Construction Programs, SF-LLL (Rev. 7-97); Department of 
Commerce forms, CD-346, Applicant for Funding Assistance; CD-511, 
Certifications Regarding Debarment, Suspension and Other Responsibility 
matters: Drug-Free Workplace Requirements and Lobbying.
    Failure to submit a signed, original SF-424 with the application, 
or separately in conjunction with submitting a completed proposal 
electronically, by the deadline will result in the application being 
rejected and returned to the applicant. A completed proposal submitted 
electronically consists of the following sections: Program Narrative; 
Standard Forms 424; 424A; 424B; and LLL; and Department of Commerce 
forms, CD-346; and 511. Failure to sign and submit with the 
application, or separately in conjunction with submitting a proposal 
electronically, the forms identified above by the deadline will 
automatically cause an application to lose two (2) points. Failure to 
submit other documents or information may adversely affect an 
applicant's overall score. MBDA shall not accept any changes, 
additions, revisions or deletions to competitive applications after the 
closing date for receiving applications, except through a formal 
negotiation process.

Paperwork Reduction Act

    This document contains collection-of-information requirements 
subject to the Paperwork Reduction Act (PRA). The use of Standard Forms 
424, 424A, 424B, CD 346, and SF-LLL have been approved by OMB under the 
respective control numbers 0348-0043, 0348-0044, 0348-0040, 0605-0001, 
and 0348-0046.
    Notwithstanding any other provision of law, no person is required 
to respond to, nor shall any person be subject to a penalty for failure 
to comply with a collection of information subject to the Paperwork 
Reduction Act unless that collection displays a currently valid OMB 
Control Number.

Executive Order 12866

    This notice has been determined to be not significant for purposes 
of E.O. 12866.

Administrative Procedure Act/Regulatory Flexibility Act

    Prior notice and an opportunity for public comment are not required 
by the Administrative Procedure Act for rules concerning public 
property, loans, grants, benefits, and contracts (5 U.S.C. 553(a)(2)). 
Because notice and opportunity for comment are not required pursuant to 
5 U.S.C. 553 or any other law, the analytical requirements of the 
Regulatory Flexibility Act (5 U.S.C. 601 et seq.) are inapplicable. 
Therefore, a regulatory flexibility analysis is not required and has 
not been prepared.

    Dated: August 17, 2004.
Ronald J. Marin,
Financial Management Officer, Minority Business Development Agency.
[FR Doc. 04-18761 Filed 8-16-04; 8:45 am]
BILLING CODE 3510-21-P