[Federal Register Volume 72, Number 7 (Thursday, January 11, 2007)]
[Notices]
[Pages 1309-1311]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 07-57]


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DEPARTMENT OF AGRICULTURE

Commodity Credit Corporation


Notice of Funds Availability; Inviting Applications for the 
Quality Samples Program

    Announcement Type: New.
    Catalog of Federal Domestic Assistance (CFDA) Number: 10.605.

SUMMARY: The Commodity Credit Corporation (CCC) announces the 
availability of $2.5 million in funding for the 2007 Quality Samples 
Program (QSP). The purpose of this notice is to solicit applications 
for participation in the FY 2007 QSP. QSP is administered by personnel 
of the Foreign Agricultural Service (FAS). This notice supercedes any 
prior notices concerning QSP.

DATES: All proposals must be received by 5 p.m. Eastern Standard Time, 
February 12, 2007. Applications received after this date will be 
considered only if funds are still available.

FOR FURTHER INFORMATION CONTACT: Entities wishing to apply for funding 
assistance should contact the Program Policy Staff, Foreign 
Agricultural Service, Portals Office Building, Suite 400, 1250 Maryland 
Avenue, SW., Washington, DC 22024, phone: (202) 720-4327, fax: (202) 
720-9361, e-mail: [email protected]. Information is also available 
on the Foreign Agricultural Service Web site at http://www.fas.usda.gov/mos/programs/QSP.asp.

SUPPLEMENTARY INFORMATION:

I. Funding Opportunity Description

    Authority: QSP is authorized under Section 5(f) of the CCC Charter 
Act, 15 U.S.C. 714c(f).
    Purpose: QSP is designed to encourage the development and expansion 
of export markets for U.S. agricultural commodities by assisting U.S. 
entities in providing commodity samples to potential foreign importers 
to promote a better understanding and appreciation for the high quality 
of U.S. agricultural commodities.
    QSP participants will be responsible for procuring (or arranging 
for the procurement of) commodity samples, exporting the samples, and 
providing the technical assistance necessary to facilitate successful 
use of the samples by importers. Participants that are funded under 
this announcement may seek reimbursement for the sample purchase price 
and the costs of transporting the samples domestically to the port of 
export and then to the foreign port, or point, of entry. Transportation 
costs from the foreign port, or point, of entry to the final 
destination will not be eligible for reimbursement. CCC will not 
reimburse the costs incidental to purchasing and transporting samples, 
for example, inspection or documentation fees. Although providing 
technical assistance is required for all projects, CCC will not 
reimburse the costs of providing technical assistance. A QSP 
participant will be reimbursed after CCC reviews its reimbursement 
claim and determines that the claim is complete.
    General Scope of QSP Projects: QSP projects are the activities 
undertaken by a QSP participant to provide an appropriate sample of a 
U.S. agricultural commodity to a foreign importer, or a group of 
foreign importers, in a given market. The purpose of the project is to 
provide information to an appropriate target audience regarding the 
attributes, characteristics, and proper use of the U.S. commodity. A 
QSP project addresses a single market/commodity combination.
    As a general matter, QSP projects should conform to the following 
guidelines:
     Projects should benefit the represented U.S. industry and 
not a specific company or brand;
     Projects should develop a new market for a U.S. product, 
promote a new U.S. product, or promote a new use for a U.S. product, 
rather than promote the substitution of one established U.S. product 
for another;
     Sample commodities provided under a QSP project must be in 
sufficient supply and available on a commercial basis;
     The QSP project must either subject the commodity sample 
to further processing or substantial transformation in the importing 
country, or the sample must be used in technical seminars designed to 
demonstrate to an appropriate target audience the proper preparation or 
use of the sample in the creation of an end product;
     Samples provided in a QSP project shall not be directly 
used as part of a retail promotion or supplied directly to consumers. 
However, the end product, that is, the product resulting from further 
processing, substantial transformation, or a technical seminar, may be 
provided to end-use consumers to demonstrate to importers consumer 
preference for that end product; and,
     Samples shall be in quantities less than a typical 
commercial sale and limited to the amount sufficient to achieve the 
project goal (e.g., not more than a full commercial mill run in the 
destination country).
    QSP projects shall target foreign importers and target audiences 
who:

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     Have not previously purchased the U.S. commodity which 
will be transported under QSP;
     Are unfamiliar with the variety, quality attribute, or 
end-use characteristic of the U.S. commodity;
     Have been unsuccessful in previous attempts to import, 
process, and market the U.S. commodity (e.g., because of improper 
specification, blending, or formulation; or sanitary or phytosanitary 
issues);
     Are interested in testing or demonstrating the benefits of 
the U.S. commodity; or,
     Need technical assistance in processing or using the U.S. 
commodity.

II. Award Information

    Under this announcement, the number of projects per participant 
will not be limited. However, individual projects will be limited to 
$75,000 of QSP reimbursement. Projects comprised of technical 
preparation seminars, that is, projects that do not include further 
processing or substantial transformation, will be limited to $15,000 of 
QSP reimbursement as these projects require smaller samples. Financial 
assistance will be made available on a reimbursement basis only; cash 
advances will not be made available to any QSP participant.
    All proposals will be reviewed against the evaluation criteria 
contained herein and funds will be awarded on a competitive basis. 
Funding for successful proposals will be provided through specific 
agreements. These agreements will in corporate the proposal as approved 
by FAS. FAS must approve in advance any subsequent changes to the 
project.

III. Eligibility Information

    1. Eligible Applicants. Any United States private or government 
entity with a demonstrated role or interest in exporting U.S. 
agricultural commodities may apply to the program. Government 
organizations consist of federal, state, or local agencies. Private 
organizations include non-trade associations, universities, 
agricultural cooperatives, state regional trade groups, and profit-
making entities.
    2. Cost Sharing. FAS considers the applicant's willingness to 
contribute resources, including cash and goods and services of the U.S. 
industry and foreign third parties, when determining which proposals 
are approved for funding.

IV. Application and Submission Information

    1. Address to Request Application Package. Organizations are 
encouraged to submit applications to FAS through the Unified Export 
Strategy (UES) application Internet Web site. Applicants also have the 
option of submitting electronic versions in the UES format (along with 
two paper copies) of their applications to FAS on diskette. However, 
UES format is not required.
    Applicants planning to use the UES Internet-based system must 
contact the FAS Program Policy Staff on (202) 720-4327 to obtain site 
access information including a user ID and password. The UES Internet-
based application, including a Help file containing step-by-step 
instructions for its use, may be found at the following URL address: 
http://www.fas.usda.gov/cooperators.html.
    Applicants who choose to submit applications on diskette can obtain 
an application format at the following URL address: http://www.fas.usda.gov/mos/programs/qsp_appl.html.
    2. Content and Form of Application Submission. To be considered for 
QSP, an applicant must submit to FAS information detailed in this 
notice. In addition, in accordance with the Office of Management and 
Budget's issuance of a final policy (68 FR 38402) regarding the need to 
identify entities that are receiving government awards, all applicants 
must submit a Dun and Bradstreet Data Universal Numbering System (DUNS) 
number. An applicant may request a DUNS number at no cost by calling 
the dedicated toll-free DUNS number request line at 1-866-705-5711. 
Incomplete applications and applications which do not otherwise conform 
to this announcement will not be accepted for review.
    FAS recommends that proposals contain, a a minimum, the following 
(a) Organizational information, including:
     Organization's name, address, Chief Executive Officer (or 
designee), Federal Tax Identification Number (TIN), and DUNS number;
     Type of organization;
     Name, telephone number, fax number, and e-mail address of 
the primary contact person;
     A description of the organization and its membership;
     A description of the organization's prior export promotion 
experience; and
     A description of the organization's experience in 
implementing an appropriate trade/technical assistance component.
    (b) Market information, including:
     An assessment of the market;
     A long-term strategy in the market; and
     U.S. export value/volume and market share (historic and 
goals) for 2002-2007;
    (c) Project information, including:
     A brief project title;
     Amount of funding requested;
     A brief description of the specific market development 
trade constraint or opportunity to be addressed by the project, 
performance measures for the years 2007-2009 which will be used to 
measure the effectiveness of the project, a benchmark performance 
measure for 2005, the viability of long term sales to this market, the 
goals of the project, and the expected benefits to the represented 
industry;
     A description of the activities planned to address the 
constraint or opportunity, including how the sample will be used in the 
end-use performance trial, the attributes of the sample to be 
demonstrated and its end-use benefit, and details of the trade/
technical servicing component (including who will provide and who will 
fund this component);
     A sample description (i.e., commodity, quantity, quality, 
type, and grade), including a justification for selecting a sample with 
such characteristics (this justification should explain in detail why 
the project could not be effective with a smaller sample);
     An itemized list of all estimated costs associated with 
the project for which reimbursement will be sought; and
     The importer's rule in the project regarding handling and 
processing the commodity sample; and
    (d) Information indicating all funding sources and amounts to be 
contributed by each entity that will supplement implementation of the 
proposed project. This may include the organization that submitted the 
proposal, private industry entities, host governments, foreign third 
parties, CCC, FAS, or other Federal agencies. Contributed resources may 
include cash or goods and services.
    3. Submission Dates and Times. All applications must be received by 
5 p.m. Eastern Standard Time, February 12, 2007. Applications received 
after this date will be considered only if funds are still available.
    4. Funding Restrictions. Proposals which request more than $75,000 
of CCC funding for individual projects will not be considered. Projects 
comprised of technical preparation seminars will be limited to $15,000 
in QSP funding. CCC will not reimburse expenditures made prior to 
approval of a proposal or unreasonable expenditures.
    5. Other Submission Requirements. All applications on diskette 
(with two accompanying paper copies) and any other form of application 
must be received by 5 p.m. Eastern Standard

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Time, February 12, 2007, at one of the following addresses:
    Hand Delivery (including FedEx, UPS, etc.): U.S. Department of 
Agriculture, Foreign Agricultural Service, Program Policy Staff, 
Portals Office Building, Suite 400, 1250 Maryland Avenue, SW., 
Washington, DC 20024.
    U.S. Postal Delivery: U.S. Department of Agriculture, Foreign 
Agricultural Service, Program Policy Staff, STOP 1042, 1400 
Independence Ave., SW., Washington, DC 20250-1042.

V. Application Review Information

    1. Criteria. FAS will use the following criteria in evaluating 
proposals:
     The ability of the organization to provide an experienced 
staff with the requisite technical and trade experience to execute the 
proposal;
     The extent to which the proposal is targeted to a market 
in which the United States is generally competitive;
     The potential for expanding commercial sales in the 
proposed market;
     The nature of the specific market constraint or 
opportunity involved and how well it is addressed by the proposal;
     The extent to which the importer's contribution in terms 
of handling and processing enhances the potential outcome of the 
project;
     The amount of reimbursement requested and the 
organization's willingness to contribute resources, including cash and 
goods and services of the U.S. industry and foreign third parties; and
     How well the proposed technical assistance component 
assures that performance trials will effectively demonstrate the 
intended end-use benefit.

Highest priority for funding under this announcement will be given to 
meritorious proposals that target countries meeting either of the 
following criteria:
     Per capita income less than $10,725 (the ceiling on upper 
middle income economies as determined by the World Bank [World 
Development Indicators; July 2006]); and population greater than 1 
million. Proposals may address suitable regional groupings, for 
example, the islands of the Caribbean Basin; or
     U.S. market share of imports of the commodity identified 
in the proposal of 10 percent or less.
    2. Review and Selection Process. Proposals will be evaluated by the 
applicable FAS Commodity Branches in the Market Development and Grants 
Management Division. The Commodity Branches will review each proposal 
against the factors described above. The purpose of this review is to 
identify meritorious proposals, recommend an appropriate funding level 
for each proposal based upon these factors, and submit the proposals 
and funding recommendations to the Deputy Administrator, Office of 
Trade Programs.
    3. Anticipated Announcement Date. Announcements of funding 
decisions for QSP are anticipated during May 2007.

VI. Award Administration Information

    1. Award Notices. FAS will notify each applicant in writing of the 
final disposition of its application. FAS will send an approval letter 
and agreement to each approved applicant. The approval letter and 
agreement will specify the terms and conditions applicable to the 
project, including the levels of QSP funding and any cost-share 
contribution requirements.
    2. Administrative and National Policy Requirements. The agreements 
will incorporate the details of each project as approved by FAS. Each 
agreement will identify terms and conditions pursuant to which CCC will 
reimburse certain costs of each project. Agreements will also outline 
the responsibilities of the participant, including, but not limited to, 
procurement (or arranging for procurement) of the commodity sample at a 
fair market price, arranging for transportation of the commodity sample 
within the time limit specified in the agreement (organizations should 
endeavor to ship commodities within 6 months of effective date of 
agreement), compliance with cargo preference requirements (shipment on 
United States flag vessels, as required), compliance with the Fly 
America Act requirements (shipment on United States air carriers, as 
required), timely and effective implementation of technical assistance, 
and submission of a written evaluation report within 90 days of 
expiration of the agreement.
    QSP agreements are subject to review and verification by the FAS 
Compliance, Security and Emergency Planning Division. Upon request, a 
QSP participant shall provide to CCC the original documents which 
support the participant's reimbursement claims. CCC may deny a claim 
for reimbursement if the claim is not supported by adequate 
documentation.
    3. Reporting. A written evaluation report must be submitted within 
90 days of the expiration of each participant's QSP agreement. 
Evaluation reports should address all performance measures that were 
presented in the proposal.

VII. Agency Contact(s)

    For additional information and assistance, contact the Program 
Policy Staff, Foreign Agricultural Service, U.S. Department of 
Agriculture, Portals Office Building, Suite 400, Stop 1042, 1250 
Maryland Avenue, SW., Washington, DC 20024, phone: (202) 720-4327, fax: 
(202) 720-9361, e-mail: [email protected].

    Signed at Washington, DC on December 28, 2006.
W. Kirk Miller,
Acting Administrator, Foreign Agricultural Service, and Vice President, 
Commodity Credit Corporation.
[FR Doc. 07-57 Filed 1-10-07; 8:45 am]
BILLING CODE 3410-10-M