[Federal Register Volume 71, Number 83 (Monday, May 1, 2006)]
[Notices]
[Pages 25580-25584]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-6531]


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DEPARTMENT OF EDUCATION


Office of Elementary and Secondary Education; Overview 
Information; Teacher Incentive Fund; Notice Inviting Applications for 
New Awards for Fiscal Year (FY) 2006

    Catalog of Federal Domestic Assistance (CFDA) Number: 84.374A.
    Dates: Applications Available: May 1, 2006.
    Deadline for Notice of Intent to Apply: June 15, 2006.
    Deadline for Transmittal of Applications: July 31, 2006.
    Deadline for Intergovernmental Review: September 28, 2006.
    Eligible Applicants: Local educational agencies (LEAs), including 
charter schools that are LEAs in their State; State educational 
agencies (SEAs); or partnerships of (a) an LEA, an SEA, or both, and 
(b) at least one non-profit organization.
    Estimated Available Funds: $94,050,000. The funds appropriated for 
this program become available on July 1, 2006 for a period of 15 
months. Therefore, we anticipate making awards using FY 2006 funds 
early in FY 2007.
    Contingent upon the availability of funds and the receipt of a 
sufficient number of high-quality applications, we may make additional 
awards, using FY 2007 funds, from the rank-ordered list of unfunded 
applications from this competition.
    Estimated Range of Awards: $300,000-$12,000,000.
    Estimated Average Size of Awards: $8,000,000.
    Estimated Number of Awards: 10-15.


    Note: The Department is not bound by any estimates in this 
notice.


    Project Period: Up to 60 months.

Full Text of Announcement

I. Funding Opportunity Description

    Purpose of Program: The purpose of the Teacher Incentive Fund, 
authorized as part of the FY 2006 Department of Education 
Appropriations Act, Public Law 109-149, is to support programs that 
develop and implement performance-based teacher and principal 
compensation systems in high-need schools.
    The specific goals of the Teacher Incentive Fund include: Improving 
student achievement by increasing teacher and principal effectiveness; 
reforming teacher and principal compensation systems so that teachers 
and principals are rewarded for increases in student achievement; 
increasing the number of effective teachers teaching poor, minority, 
and disadvantaged students in hard-to-staff subjects; and creating 
sustainable performance-based compensation systems.
    Priorities: We are establishing these priorities for the FY 2006 
grant competition (including any awards we make, using FY 2007 funds, 
from the list of unfunded applications from this competition), in 
accordance with section 437(d)(1) of the General Education Provisions 
Act.
    Absolute Priority: For the FY 2006 grant competition (including any 
awards we make, using FY 2007 funds, from the list of unfunded 
applications from this competition), this priority is an absolute 
priority. Under 34 CFR 75.105(c)(3) we consider only applications that 
meet this priority.
    Consistent with the program purpose, the grantee must establish a 
system that provides teachers and principals, or principals only, 
serving in high-need schools with differentiated levels of compensation 
based primarily on student achievement gains at the school and 
classroom levels. This performance-based compensation system must also 
(a) consider classroom evaluations conducted multiple times during each 
school year and (b) provide educators with incentives to take on 
additional responsibilities and leadership roles.
    Competitive Preference Priorities: For the FY 2006 grant 
competition (including any awards we make, using FY 2007 funds, from 
the list of unfunded applications from this competition), these 
priorities are competitive preference priorities. Under 34 CFR 
75.105(c)(2)(i) we award up to an additional 5 points to an 
application, depending on the extent to which the application meets the 
priority.
    These priorities are:
    Competitive Preference Priority 1: We will award up to an 
additional 5 points depending on the extent to which the applicant 
documents or provides a plan to establish ongoing support for and 
commitment to the performance-based compensation system from a 
significant proportion of the teachers, the principal, and the 
community, including the applicable governing authority or LEA, for 
each participating high-need school.
    Competitive Preference Priority 2: We will award up to an 
additional 5 points depending on the extent to which the applicant will 
provide differentiated

[[Page 25581]]

levels of compensation, which may include incentives, to recruit or 
retain effective teachers and principals (as measured by student 
achievement gains) in high-need urban and rural schools, and/or in 
hard-to-staff subject areas such as mathematics and science.
    Definitions: The following definitions apply:
    A high-need school means a school with more than 30 percent of its 
enrollment from low-income families, based on eligibility for free and 
reduced price lunch subsidies or other poverty measures that the State 
permits the LEAs to use. A middle or high school may be determined to 
meet this definition on the basis of poverty data from feeder 
elementary schools.
    Waiver of Proposed Rulemaking: Under the Administrative Procedure 
Act (5 U.S.C. 553), the Department generally offers interested parties 
the opportunity to comment on proposed priorities, definitions, cost-
sharing requirements, selection criteria, and performance measures. 
Section 437(d)(1) of the General Education Provisions Act (20 U.S.C. 
1232(d)(1)), however, allows the Secretary to exempt from rulemaking 
requirements regulations governing the first grant competition under a 
new or substantially revised program authority. This is the first grant 
competition for this program authorized as part of the FY 2006 
Department of Education Appropriations Act, Public Law 109-149, and 
therefore these rules qualify for this exemption. To ensure timely 
grant awards, the Secretary has decided, under section 437(d)(1), to 
forego public comment on the priorities, definitions, cost-sharing 
requirements, selection criteria, and performance measures. These 
priorities, definitions, cost-sharing requirements, selection criteria, 
and performance measures will apply to the FY 2006 grant competition 
(including any awards we make, using FY 2007 funds, from the list of 
unfunded applications from this competition).

    Program Authority: Pub. L. 109-149, 119 Stat. 2864-65.

    Applicable Regulations: The Education Department General 
Administrative Regulations (EDGAR) in 34 CFR parts 74, 75, 77, 79, 80, 
81, 81, 82, 84, 85, 97, 98, and 99.

II. Award Information

    Type of Award: Discretionary grant.
    Estimated Available Funds: $94,050,000. The funds appropriated for 
this program become available on July 1, 2006 for a period of 15 
months. Therefore, we anticipate making awards using FY 2006 funds in 
early FY 2007.
    Contingent upon the availability of funds and the receipt of a 
sufficient number of high-quality applications, we may make additional 
awards, using FY 2007 funds, from the rank-ordered list of unfunded 
applications from this competition.
    Estimated Range of Awards: $300,000-$12,000,000.
    Estimated Average Size of Awards: $8,000,000.
    Estimated Number of Awards: 10-15.


    Note: The Department is not bound by any estimates in this 
notice.


    Project Period: Up to 60 months.

III. Eligibility Information

    1. Eligible Applicants: LEAs, including charter schools that are 
LEAs in their State; SEAs; or partnerships of (a) an LEA, an SEA, or 
both, and (b) at least one non-profit organization.
    2. Cost-Sharing: The grantee must ensure that, in each applicable 
budget year, an increasing share of funds from sources other than this 
grant will be used to pay for earned differential compensation costs as 
they are phased in during the performance period. In the final year of 
the performance period, the grantee must ensure that at least 75 
percent of the differentiated compensation costs are not paid from this 
grant.

IV. Application and Submission Information

    1. Address to Request Application Package: Education Publications 
Center (ED Pubs), P.O. Box 1398, Jessup, MD 20794-1398. Telephone (toll 
free): 1-877-433-7827. FAX: (301) 470-1244. If you use a 
telecommunications device for the deaf (TDD), you may call (toll free): 
1-877-576-7734.
    You may also contact ED Pubs at its Web site: www.ed.gov/pubs/edpubs.html or you may contact ED Pubs at its e-mail address: 
[email protected].
    If you request an application from ED Pubs, be sure to identify 
this competition as follows: CFDA number 84.374A.
    Individuals with disabilities may obtain a copy of the application 
package in an alternative format (e.g., Braille, large print, 
audiotape, or computer diskette) by contacting one of the individuals 
listed under For Further Information Contact in section VII. of this 
notice.
    2. Content and Form of Application Submission: Requirements 
concerning the content of an application, together with the forms you 
must submit, are in the application package for this competition.
    Notice of Intent to Apply: We will be able to develop a more 
efficient process for reviewing grant applications if we have a better 
understanding of the number of entities that intend to apply for 
funding.
    Therefore, we strongly encourage each potential applicant to send a 
notification of its intent to apply for funding to the following email 
address: [email protected]. The notification of intent to apply for funding is 
optional and should not include information regarding the proposed 
application.
    Page Limit: Applicants are strongly encouraged to limit their 
application to 40 pages.
    3. Submission Dates and Times: Applications Available: May 1, 2006.
    Deadline for Notice of Intent to Apply: June 15, 2006.
    Deadline for Transmittal of Applications: July 31, 2006. 
Applications for grants under this competition may be submitted 
electronically using the Grants.gov Apply site (Grants.gov), or in 
paper format by mail or hand delivery. For information (including dates 
and times) about how to submit your application electronically, or by 
mail or hand delivery, please refer to section IV. 6. Other Submission 
Requirements in this notice.
    We do not consider an application that does not comply with the 
deadline requirements.
    Deadline for Intergovernmental Review: September 28, 2006.
    4. Intergovernmental Review: This competition is subject to 
Executive Order 12372 and the regulations in 34 CFR part 79. 
Information about Intergovernmental Review of Federal Programs under 
Executive Order 12372 is in the application package for this 
competition.
    5. Funding Restrictions: We reference regulations outlining funding 
restrictions in the Applicable Regulations section in this notice.
    6. Other Submission Requirements: Applications for grants under 
this competition may be submitted electronically or in paper format by 
mail or hand delivery.
    a. Electronic Submission of Applications. We have been accepting 
applications electronically through the Department's e-Application 
system since FY 2000. In order to expand on those efforts and comply 
with the President's Management Agenda, we are continuing to 
participate as a partner in the new government-wide Grants.gov Apply 
site in FY 2006. Teacher Incentive Fund-CFDA Number 84.374A is one of 
the programs included in this

[[Page 25582]]

project. We request your participation in Grants.gov.
    If you choose to submit your application electronically, you must 
use the Grants.gov Apply site at http://www.Grants.gov. Through this 
site, you will be able to download a copy of the application package, 
complete it offline, and then upload and submit your application. You 
may not e-mail an electronic copy of a grant application to us.
    You may access the electronic grant application for Teacher 
Incentive Fund at: http://www.grants.gov. You must search for the 
downloadable application package for this program by the CFDA number. 
Do not include the CFDA number's alpha suffix in your search.
    Please note the following:
     Your participation in Grants.gov 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.
     Applications received by Grants.gov are time and date 
stamped. Your application must be fully uploaded and submitted, and 
must be date/time stamped by the Grants.gov system no later than 4:30 
p.m., Washington, DC time, on the application deadline date. Except as 
otherwise noted in this section, we will not consider your application 
if it is date/time stamped by the Grants.gov system later than 4:30 
p.m., Washington, DC time, on the application deadline date. When we 
retrieve your application from Grants.gov, we will notify you if we are 
rejecting your application because it was date/time stamped by the 
Grants.gov system after 4:30 p.m., Washington, DC time, on the 
application deadline date.
     The amount of time it can take to upload an application 
will vary depending on a variety of factors, including the size of the 
application and the speed of your Internet connection. Therefore, we 
strongly recommend that you do not wait until the application deadline 
date to begin the application process through Grants.gov.
     You should review and follow the Education Submission 
Procedures for submitting an application through Grants.gov that are 
included in the application package for this competition to ensure that 
you submit your application in a timely manner to the Grants.gov 
system. You can also find the Education Submission Procedures 
pertaining to Grants.gov at http://e-Grants.ed.gov/help/GrantsgovSubmissionProcedures.pdf
     To submit your application via Grants.gov, you must 
complete all of the steps in the Grants.gov registration process (see 
http://www.Grants.gov/GetStarted). These steps include (1) registering 
your organization, (2) registering yourself as an Authorized 
Organization Representative (AOR), and (3) getting authorized as an AOR 
by your organization. Details on these steps are outlined in the 
Grants.gov 3-Step Registration Guide (see http://www.grants.gov/assests/GrantsgovCoBrandBrochure8X11.pdf). You must also provide on 
your application the same D-U-N-S Number used with this registration. 
Please note that the registration process may take five or more 
business days to complete, and you must have completed all registration 
steps to allow you to successfully submit an application via 
Grants.gov.
     You will not receive additional point value because you 
submit your application in electronic format, nor will we penalize you 
if you submit your application in paper format.
     You may submit all documents electronically, including all 
information typically included on the Application for Federal Education 
Assistance (SF 424), Budget Information--Non-Construction Programs (ED 
524), and all necessary assurances and certifications. If you choose to 
submit your application electronically, you must attach any narrative 
sections of your application as files in a .DOC (document), .RTF (rich 
text), or .PDF (Portable Document) format. If you upload a file type 
other than the three file types specified above or submit a password 
protected file, we will not review that material.
     Your electronic application must comply with any page 
limit requirements described in this notice.
     After you electronically submit your application, you will 
receive an automatic acknowledgment from Grants.gov that contains a 
Grants.gov tracking number. The Department will retrieve your 
application from Grants.gov and send you a second confirmation by e-
mail that will include a PR/Award number (an ED-specified identifying 
number unique to your application).
     We may request that you provide us original signatures on 
forms at a later date.
    Application Deadline Date Extension in Case of System 
Unavailability
    If you are prevented from electronically submitting your 
application on the application deadline date because of technical 
problems with the Grants.gov system, we will grant you an extension 
until 4:30 p.m., Washington, DC time, the following business day to 
enable you to transmit your application electronically, or by hand 
delivery. You also may mail your application by following the mailing 
instructions as described elsewhere in this notice. If you submit an 
application after 4:30 p.m., Washington, DC time, on the deadline date, 
please contact the person listed elsewhere in this notice under For 
Further Information Contact, and provide an explanation of the 
technical problem you experienced with Grants.gov, along with the 
Grants.gov Support Desk Case Number (if available). We will accept your 
application if we can confirm that a technical problem occurred with 
the Grants.gov system and that that problem affected your ability to 
submit your application by 4:30 p.m., Washington, DC time, on the 
application deadline date. The Department will contact you after a 
determination is made on whether your application will be accepted.


    Note: Extensions referred to in this section apply only to the 
unavailability of or technical problems with the Grants.gov system. 
We will not grant you an extension if you failed to fully register 
to submit your application to Grants.gov before the deadline date 
and time or if the technical problem you experienced is unrelated to 
the Grants.gov system.


    b. Submission of Paper Applications by Mail. If you submit your 
application in paper format by mail (through the U.S. Postal Service or 
a commercial carrier), you must mail the original and two copies of 
your application, on or before the application deadline date, to the 
Department at the applicable following address:
    By mail through the U.S. Postal Service: U.S. Department of 
Education, Application Control Center, Attention: CFDA Number 84.374A, 
400 Maryland Avenue, SW., Washington, DC 20202-4260; or
    By mail through a commercial carrier: U.S. Department of Education, 
Application Control Center--Stop 4260, Attention: CFDA Number 84.374A, 
7100 Old Landover Road, Landover, MD 20785-1506.
    Regardless of which address you use, you must show proof of mailing 
consisting of one of the following:
    (1) A legibly dated U.S. Postal Service postmark,
    (2) A legible mail receipt with the date of mailing stamped by the 
U.S. Postal Service,
    (3) A dated shipping label, invoice, or receipt from a commercial 
carrier, or
    (4) Any other proof of mailing acceptable to the Secretary of the 
U.S. Department of Education.

[[Page 25583]]

    If you mail your application through the U.S. Postal Service, we do 
not accept either of the following as proof of mailing:
    (1) A private metered postmark, or
    (2) A mail receipt that is not dated by the U.S. Postal Service.
    If your application is postmarked after the application deadline 
date, we will not consider your application.


    Note: The U.S. Postal Service does not uniformly provide a dated 
postmark. Before relying on this method, you should check with your 
local post office.


    c. Submission of Paper Applications by Hand Delivery. If you submit 
your application in paper format by hand delivery, you (or a courier 
service) must deliver the original and two copies of your application 
by hand, on or before the application deadline date, to the Department 
at the following address: U.S. Department of Education, Application 
Control Center, Attention: CFDA Number 84.374A, 550 12th Street, SW., 
Room 7041, Potomac Center Plaza, Washington, DC 20202-4260. The 
Application Control Center accepts hand deliveries daily between 8 a.m. 
and 4:30 p.m., Washington, DC time, except Saturdays, Sundays and 
Federal holidays.
    Note for Mail or Hand Delivery of Paper Applications: If you mail 
or hand deliver your application to the Department:
    (1) You must indicate on the envelope and--if not provided by the 
Department--in Item 4 of the Application for Federal Education 
Assistance (SF 424) the CFDA number--and suffix letter, if any--of the 
competition under which you are submitting your application.
    (2) The Application Control Center will mail a grant application 
receipt acknowledgment to you. If you do not receive the grant 
application receipt acknowledgment within 15 business days from the 
application deadline date, you should call the U.S. Department of 
Education Application Control Center at (202) 245-6288.

V. Application Review Information

    Selection Criteria: The selection criteria for this competition are 
as follows:
    (a) Need (5 points). The extent to which the applicant describes 
the scope and size of the project and the need for the project, 
including information on student academic achievement and the quality 
of the teachers and principals in the LEA(s) and high-need schools that 
will be served by the project.
    (b) Project Design (50 points). (1) The extent to which the 
performance-based compensation system will reward teachers and 
principals who raise student academic achievement.
    (2) The extent to which the applicant describes the performance-
based teacher and principal compensation system that the applicant 
proposes to develop, implement, or expand, including the extent to 
which the applicant will build the capacity of teachers and principals 
through activities such as professional development to raise student 
achievement and to provide students with greater access to rigorous 
coursework.
    (3) The extent to which the applicant's proposed project includes 
valid and reliable measures of student achievement--including statewide 
assessment scores as appropriate for this purpose--as the primary 
indicator of teacher and principal effectiveness in the proposed 
performance-based compensation system.
    (4) The extent to which the applicant proposes to develop and 
implement a fair, rigorous and objective process to evaluate teacher 
and principal performance multiple times throughout the school year.
    (c) Adequacy of Resources (20 points). (1) The extent to which the 
applicant provides a thorough explanation of how the applicant will use 
funds awarded under the grant together with the required matching funds 
to carry out the program purpose.
    (2) The extent to which the applicant provides a detailed plan, 
including documentation of resources, for sustaining its performance-
based compensation system after the grant period ends.
    (3) The extent to which the applicant includes a thorough 
description of its current data-management capacity and proposed areas 
of data management development in order to implement a performance-
based compensation system in which differentiated compensation is based 
primarily on student academic achievement.
    (d) Quality of the Management Plan and Key Personnel (15 points). 
(1) The adequacy of the management plan to achieve the objectives of 
the proposed project on time and within budget, including clearly 
defined responsibilities, timelines, milestones, and processes for 
continuous improvement to accomplish project tasks.
    (2) The qualifications, including experience, education, and 
training of proposed key personnel.
    (e) Evaluation (10 points). (1) The extent to which the applicant's 
evaluation plan includes the use of objective measures that are clearly 
related to the goals of the project to raise student achievement and 
increase teacher effectiveness, including the extent to which the 
evaluation will produce quantitative and qualitative data.
    (2) The extent to which the applicant includes adequate evaluation 
procedures for ensuring feedback and continuous improvement in the 
operation of the proposed project.
    (3) The extent to which the applicant commits to participating in a 
rigorous national evaluation that will provide a common design 
methodology, data collection instruments, and performance measures for 
all grantees funded under this competition.

VI. Award Administration Information

    1. Award Notices: If your application is successful, we notify your 
U.S. Representative and U.S. Senators and send you a Grant Award 
Notification (GAN). We may also notify you informally.
    If your application is not evaluated or not selected for funding, 
we notify you.
    2. Administrative and National Policy Requirements: We identify 
administrative and national policy requirements in the application 
package and reference these and other requirements in the Applicable 
Regulations section of this notice.
    We reference the regulations outlining the terms and conditions of 
an award in the Applicable Regulations section of this notice and 
include these and other specific conditions in the GAN. The GAN also 
incorporates your approved application as part of your binding 
commitments under the grant.
    3. Reporting: At the end of the project period, recipients must 
submit a final performance report, including financial information, as 
directed by the Secretary. If you receive a multi-year award, you must 
submit an annual performance report that provides the most current 
performance and financial expenditure information as specified by the 
Secretary in 34 CFR 75.118.
    4. Performance Measures: Pursuant to the Government Performance and 
Results Act (GPRA), the Department has established the following 
performance measures that it will use to evaluate the overall 
effectiveness of the grantee's project, as well as the TIF program as a 
whole:
    (1) Changes in LEA personnel deployment practices, as measured by 
changes over time in the percentage of teachers and principals in high-
need schools who have a record of effectiveness; and
    (2) Changes in teacher and principal compensation systems in 
participating

[[Page 25584]]

LEAs, as measured by the percentage of a district's personnel budget 
that is used for performance-related payments to effective (as measured 
by student achievement gains) teachers and principals.
    All grantees will be expected to submit an annual performance 
report documenting their success in addressing these performance 
measures. The Department will use the applicant's performance data for 
program management and administration, in such areas as determining new 
and continuation funding and planning technical assistance.

VII. Agency Contacts

    For Further Information Contact: Margaret McNeely, U.S. Department 
of Education, 400 Maryland Avenue, SW., room 3W103, Washington, DC 
20202-6200, or Sheila Sjolseth, Department of Education, 400 Maryland 
Avenue, SW., room 3W237, Washington, DC 20202-6200. Or by phone at 
(202) 205-5224. Or by e-mail: [email protected] or by Internet at the 
following Web site: http://www.ed.gov/programs/teacherincentive/index.html.
    If you use a telecommunications device for the deaf (TDD), you may 
call the Federal Relay Service (FRS) at 1-800-877-8339.
    Individuals with disabilities may obtain this document in an 
alternative format (e.g., Braille, large print, audiotape, or computer 
diskette) on request to the individuals listed in this section.

VIII. Other Information

    Electronic Access to This Document: You may view this document, as 
well as all other documents of this Department published in the Federal 
Register, in text or Adobe Portable Document Format (PDF) on the 
Internet at the following site: www.ed.gov/news/fedregister. 
    To use PDF you must have Adobe Acrobat Reader, which is available 
free at this site. If you have questions about using PDF, call the U.S. 
Government Printing Office (GPO), toll free, at 1-888-293-6498; or in 
the Washington, DC, area at (202) 512-1530.


    Note: The official version of this document is the document 
published in the Federal Register. Free Internet access to the 
official edition of the Federal Register and the Code of Federal 
Regulations is available on GPO Access at: www.gpoaccess.gov/nara/index.html.


    Dated: April 26, 2006.
Henry L. Johnson,
Assistant Secretary for Elementary and Secondary Education.
 [FR Doc. E6-6531 Filed 4-28-06; 8:45 am]
BILLING CODE 4000-01-P