[Federal Register Volume 72, Number 113 (Wednesday, June 13, 2007)]
[Notices]
[Pages 32609-32616]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-11408]


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DEPARTMENT OF AGRICULTURE

Rural Business-Cooperative Service


Request for Proposals: Fiscal Year 2007 Funding Opportunity for 
1890 Land-Grant Institutions Rural Entrepreneurial Outreach and 
Development Initiative

AGENCY: Rural Business-Cooperative Service, USDA.

ACTION: Initial notice of request for proposals.

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SUMMARY: Business and Cooperative Programs are administered through 
USDA Rural Development. USDA Rural Development announces the 
availability of approximately $1.5 million in competitive cooperative 
agreement funds. USDA Rural Development hereby requests proposals from 
1890 Land-Grant Universities and Tuskegee University (1890 
Institutions) for competitively awarded cooperative agreements for 
projects that support USDA Rural Development's goals and objectives of 
providing technical assistance for business creation in economically 
challenged rural communities, for educational programs to develop and 
improve upon the professional skills of rural entrepreneurs, and for 
outreach and promotion of USDA Rural Development's programs in small 
rural communities with the greatest economic need. Project proposals 
must be designed to overcome currently identified economic problems and 
lead to sustainable economic development. Project proposals that 
address both traditional and nontraditional business enterprises are 
encouraged. This initiative seeks to create a working partnership 
between USDA Rural Development and the 1890 Institutions through 
cooperative agreements. A cooperative agreement requires substantial 
involvement of the Government agency in carrying out the objectives of 
the project.
    Cooperative agreements will be awarded to the project proposals 
receiving the highest scores as determined by a peer review panel of 
USDA employees knowledgeable of the subject matter. Awards will be made 
to the extent that funds are available. However, USDA Rural Development 
is making no commitment to fund any particular project proposal or to 
make a specific number of awards. Eligible applicants must provide 
matching funds equal to at least 25 percent of the total project costs.

DATES: Paper copies of applications must be postmarked and mailed, 
shipped, or sent overnight no later than July 30, 2007, to be eligible 
for FY 2007 funding. Electronic copies of applications must be received 
by July 30, 2007, to be eligible for FY 2007 funding. Late applications 
are not eligible for FY 2007 funding.

ADDRESSES: You may obtain application guides and materials for the 1890 
Land-Grant Institutions Rural Entrepreneurial Outreach and Development 
Initiative (1890 REOD Initiative) at the following Internet address: 
http://www.rurdev.usda.gov/rbs/oa/1890.htm or by contacting Edgar L. 
Lewis, Program Manager, USDA Rural Development, Cooperative Programs, 
Mail Stop 3252, 1400 Independence Avenue, SW., Washington, DC 20250-
3252, telephone: (202) 690-3407, e-mail: [email protected].
    Final paper applications for an 1890 REOD Initiative cooperative 
agreement may be submitted via the U.S. Postal Service to USDA Rural 
Development, Attention: 1890 REOD Initiative, Mail Stop 3250, 1400 
Independence Avenue, SW., Washington, DC 20250, or via UPS, FedEx, or 
similar delivery service to USDA Rural Development, Attention: 1890 
REOD Initiative, Room 4016, 1400 Independence Avenue, SW., Washington, 
DC 20250. The telephone number that should be used on FedEx or similar 
packages is (202) 720-7558.
    Submit electronic cooperative agreement applications using the 
Grants.gov Web site at http://www.grants.gov.

FOR FURTHER INFORMATION CONTACT: Edgar L. Lewis, Program Manager, USDA 
Rural Development, Cooperative Programs, Mail Stop 3252, Room 4204, 
1400 Independence Avenue, SW., Washington, DC 20250-3252 telephone: 
(202) 690-3407, TDD Federal Information Relay Service: 1-800-877-8339, 
e-mail: [email protected], or visit the program Web site at 
http://www.rurdev.usda.gov/rbs/oa/1890.htm.

SUPPLEMENTARY INFORMATION:

Overview

    Federal Agency: Rural Business--Cooperative Service.
    Funding Opportunity Title: 1890 Land-Grant Institutions Rural 
Entrepreneurial Outreach and Development Initiative (1890 REOD 
Initiative).
    Announcement Type: Initial Announcement.
    Catalog of Federal Domestic Assistance (CFDA) Number: 10.856.
    Key Dates: Cooperative agreement applications may be submitted on 
paper or electronically according to the following deadlines.
    Paper copies must be postmarked and mailed, shipped, or sent 
overnight no later than July 30, 2007, to be eligible for FY 2007 
funding. Electronic copies must be received by July 30, 2007, to be 
eligible for FY 2007 funding. Late applications will not be considered 
for funding.

I. Funding Opportunity Description

    This solicitation is issued pursuant to 7 U.S.C. 2204b(b)(4) and 
Executive Order 13256 (February 12, 2002), ``President's Board of 
Advisors on Historically Black Colleges and Universities.''
    Several other Federal statutes and regulations apply to project 
proposals considered for review and to cooperative agreements awarded. 
These include, but are not limited to:

7 CFR part 15, subpart A: Nondiscrimination in Federally Assisted 
Programs of the Department of Agriculture--Effectuation of Title VI of 
the Civil Rights Act of 1964,
7 CFR part 15b: Nondiscrimination on the Basis of Handicap in Programs 
or Activities Receiving Financial Assistance,
7 CFR part 3015: Uniform Federal Assistance Regulations,
7 CFR part 3017: Governmentwide Debarment and Suspension 
(Nonprocurement),
7 CFR part 3018: New Restrictions on Lobbying,
7 CFR part 3019: Uniform Administrative Requirements for Grants and 
Agreements with Institutions of Higher Education, Hospitals, and Other 
Non-Profit Organizations,
7 CFR part 3021: Governmentwide Requirements for Drug-Free Workplace 
(Financial Assistance),
7 CFR part 3052: Audits of States, Local Governments, and Non-Profit 
Organizations.

    USDA Rural Development was established under the authority of the 
Department of Agriculture Reorganization Act of 1994. The mission of 
USDA Rural Development is to enhance the quality of life for rural

[[Page 32610]]

Americans by providing leadership in building competitive businesses, 
including sustainable cooperatives that can prosper in the global 
marketplace. USDA Rural Development meets these goals by investing 
financial resources and providing technical assistance to cooperatives 
and other businesses located in rural communities and establishing 
strategic alliances and partnerships that leverage public, private, and 
cooperative resources to create jobs and stimulate rural economic 
activity.
    The primary purposes of the 1890 REOD Initiative are to encourage 
1890 Institutions to provide technical assistance for business creation 
in economically challenged rural communities, to conduct educational 
programs that develop and improve upon the professional skills of rural 
entrepreneurs, and to provide outreach and promote USDA Rural 
Development programs in small rural communities with the greatest 
economic need. Project proposals must be designed to overcome currently 
identified economic problems and lead to sustainable economic 
development. Project proposals that address both traditional and 
nontraditional business enterprises are encouraged.
    USDA Rural Development will use cooperative agreements with the 
1890 Institutions to strengthen the capacity of these communities to 
undertake innovative, comprehensive, citizen-led, and long-term 
strategies for community and economic development. The cooperative 
agreements will be for an outreach and development effort to promote 
Rural Development programs in targeted underserved rural communities 
and shall include, but not be limited to:
    (a) Developing a business startup program, including technical 
assistance, to assist new cooperatives and other businesses with new 
business development, business planning, franchise startup and 
consulting, business expansion studies, marketing analysis, cash flow 
management, and seminars and workshops for cooperatives and small 
businesses;
    (b) Developing management and technical assistance plans for:
    (1) Assessing cooperative and small business alternatives to 
traditional agricultural and other natural resource based industries;
    (2) Assisting in the development of business plans or loan 
packages, marketing, or bookkeeping; and
    (3) Assisting and training cooperatives and small businesses in 
customer relations, product development, or business planning and 
development.
    (c) Assessing local community weaknesses and strengths, feasible 
alternatives to agricultural production, and the necessary 
infrastructure to expand or develop new or existing businesses;
    (d) Providing community leaders with advice and recommendations 
regarding best practices in community economic development stimulus 
programs for their communities;
    (e) Conducting seminars to disseminate information to stimulate 
business and economic development in selected rural communities; and
    (f) Conducting outreach through the use of computer technology and 
maintaining an Internet Web presence that links community leaders and 
residents to available economic development information.

II. Award Information

    Type of Award: Cooperative Agreements.
    Fiscal Year Funds: FY 2007.
    Approximate Total Funding: $1,500,000.
    Approximate Number of Awards: 13.
    Approximate Average Award: $115,000.
    Floor of Award Range: None.
    Ceiling of Award Range: $115,000.
    Anticipated Award Date: September 21, 2007.
    Budget Period Length: 12 months.
    Project Period Length: 12 months.
    Funds may not be used to: (a) Pay costs of preparing the 
application package, (b) fund political activities, (c) pay costs prior 
to the effective date of the cooperative agreement, (d) provide for 
revolving funds, (e) pay for construction, (f) conduct any activities 
where there is or may appear to be a conflict of interest, or (g) 
purchase real estate.
    If an applicant is to receive an award that is less than the amount 
requested, the applicant will be required to modify the application to 
conform to the reduced amount before execution of the cooperative 
agreement. USDA Rural Development reserves the right to reduce or de-
obligate any award if acceptable modifications are not submitted by the 
awardee(s) within 10 working days from the date the application is 
returned to the applicant. Any modification must be within the scope of 
the original application.
    Throughout the project period, USDA Rural Development's continued 
commitment to advance funds will be conditioned upon evidence of 
satisfactory progress by the recipient (as documented in certified 
acceptable quarterly progress and financial reports) and the 
determination that continued funding is in the best interest of U.S. 
Government.

III. Eligibility Requirements

1. Applicant Eligibility

    To be eligible for an award under this program, an applicant must:
    (a) Be an 1890 Institution which includes: Alabama A&M University, 
University of Arkansas-Pine Bluff, Delaware State University, Florida 
A&M University, Fort Valley State University, Kentucky State 
University, Southern University and A&M College, University of 
Maryland-Eastern Shore, Alcorn State University, Langston University, 
North Carolina A&T State University, Lincoln University (Missouri), 
South Carolina State University, Tennessee State University, Prairie 
View A&M University, Virginia State University, West Virginia State 
University, and Tuskegee University.
    Although an applicant may be eligible to compete for an award based 
on its status as an eligible entity, other factors may exclude an 
applicant from receiving Federal assistance under this program (e.g. 
debarment d suspension). Applicants from ineligible institutions or 
persons will be rejected in their entirety. USDA Rural Development will 
accept only one application per Institution under this program. In the 
event that more than one application is submitted, the 1890 
Institution's president will determine the official application for 
consideration;
    (b) Demonstrate that the personnel assigned to the project have the 
expertise and experience necessary to fulfill the tasks set forth in 
the project proposal. Applicants should demonstrate a previous record 
of successful implementation of similar projects;
    (c) Demonstrate expertise in the use of computer technologies to 
provide technical assistance and access to Internet Web sites; and
    (d) Submit a completed application as set forth in Section IV.3.
    An applicant may subcontract with organizations not eligible to 
apply provided such organizations are necessary for the conduct of the 
project. However, the subcontracted amount may not exceed one-third of 
the total Federal award.

2. Project Eligibility

    To be eligible for an award under this program, an applicant must:
    (a) Establish that the project eligible beneficiaries are located 
in a rural area as defined in 7 U.S.C. 1991(a)(13)(A) with a 
demonstrated economic need.

[[Page 32611]]

Eligible beneficiaries must also be located in communities that show 
significant community support for the proposal,
    (b) Provide matching funds equal to at least 25 percent of the 
total project costs, and
    (c) Establish and maintain an Internet Web presence linked to the 
USDA Rural Development Web site. This Web site should contain links to 
additional economic development sites that will benefit residents and 
community leaders.

3. Rural Area Definition

    Rural underserved targeted counties/communities must be an area 
other than a city or town that has a population of greater than 50,000 
inhabitants and the urbanized area contiguous and adjacent to such a 
city or town, as defined by the U.S. Bureau of Census using the latest 
decennial census of the United States.

4. Matching Funds

    Matching funds may be provided by either the applicant or third 
party in the form of either cash or in-kind contributions and must be 
from non-Federal funds. Matching funds must be spent in proportion to 
the spending of funds received from the cooperative agreement. 
Applicants must verify that matching funds are available for the time 
period of the cooperative agreement.

IV. Application Process

1. Application Packages

    If an Institution plans to apply using a paper application, 
application packages, including the required forms for this funding 
opportunity, may be obtained from http://www.rurdev.usda.gov/rbs/oa/1890.htm. If an Institution is having difficulty accessing the forms 
online, it may contact USDA Rural Development at (202) 690-3407, FAX: 
(202) 690-2723, or TDD Federal Information Relay Service: 1-800-877-
8339. The application forms and instructions may also be requested via 
e-mail by sending a message with the contact person's name, mailing 
address, and telephone number to [email protected]. The 
application forms and instructions will be mailed as quickly as 
possible. When calling or e-mailing USDA Rural Development, please 
indicate that you are requesting application forms and instructions for 
the FY 2007 1890 REOD Initiative.
    If an Institution plans to apply electronically, the forms must be 
obtained from http://www.grants.gov.

2. Application Submission

    Paper applications must be postmarked and mailed, shipped, or sent 
overnight not later than July 30, 2007. Electronic copies must be 
received by July 30, 2007. Late applications will not be considered for 
funding. The applicant assumes the risk of any delay in proposal 
delivery. Applicants are strongly encouraged to submit completed 
applications electronically or via overnight mail or delivery service 
to ensure timely receipt by USDA Rural Development. Receipt of all 
applications will be acknowledged by e-mail. Therefore, applicants are 
strongly encouraged to provide accurate e-mail addresses. If the 
applicant does not receive an acknowledgment within 7 workdays of the 
submission deadline, please contact the program manager. If USDA Rural 
Development receives your application after the deadline due to: (a) 
Carrier error, when the carrier accepted the package with guarantee for 
delivery by the closing date and time, or (b) significant weather 
delays or natural disaster, you will be given the opportunity to 
document these problems. USDA Rural Development will consider the 
application as having been received by the deadline if your 
documentation meets these requirements and verifies the delay was 
beyond your control. Applications submitted via facsimile will not be 
accepted.
    An Institution may submit its application in paper or in an 
electronic format. If a paper application is submitted, a signed 
original and two copies of the completed application must be submitted. 
The original and two copies must include all required forms, 
certifications, assurances, project proposal documents, and appendices; 
be signed by an authorized representative of the Institution; contain 
original signatures; and be submitted unbound.
    A paper application submitted via the Postal Service must be 
addressed to USDA Rural Development, Attention: 1890 REOD Initiative, 
Mail Stop 3250, 1400 Independence Avenue, SW., Washington, DC 20250. A 
paper application submitted via a commercial carrier such as UPS, 
FedEx, or similar delivery service must be addressed to USDA Rural 
Development, Attention: 1890 Initiative, Room 4016, 1400 Independence 
Avenue, SW., Washington, DC 20250. The telephone number to be used on 
FedEx or similar packages is (202) 720-7558.
    If an application is submitted electronically, the application must 
be submitted at http://www.grants.gov. Applicants are advised to visit 
the site well in advance of the application deadline if they plan to 
apply electronically to ensure that they have obtained the proper 
authentication and have sufficient computer resources to complete the 
application.
    All Federal grant applicants must provide a Dun and Bradstreet Data 
Universal Numbering System (DUNS) number when applying for Federal 
grants and cooperative agreements. The DUNS number is required whether 
an applicant is submitting a paper application or using the 
governmentwide electronic portal Grants.gov. A DUNS number is 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 institution has a DUNS number. An Institution may 
acquire a DUNS number at no cost by calling the dedicated toll-free 
DUNS number request line on 1-866-705-5711 or online at http://www.dnd.com.
    If an Institution's application does not contain a DUNS number 
field, please write the DUNS number at the top of the first page of the 
application and/or include the DUNS number in the application cover 
letter.

3. Completed Application

    To be eligible for funding, an application must contain all of the 
following elements. Applications that are missing any element or 
contain an incomplete element will not be considered for funding.
    (a) Completed forms.
    (1) Form SF-424, ``Application for Federal Assistance.'' In order 
for this form to be considered complete, it must contain the legal name 
of the applicant, the applicant's DUNS number, the applicant's complete 
mailing address, the name and telephone number of a contact person, the 
employer identification number (EIN), the start and end dates of the 
project, the Federal funds requested, other funds, including in-kind 
funds, that will be used as matching funds, congressional districts, an 
answer to the question, ``Is applicant delinquent on any Federal 
debt?'', the name and signature of an authorized representative, the 
telephone number of the authorized representative, and the date the 
form was signed. Other information requested on the form may be 
applicable, but the above-listed information is required for an 
application to be considered complete.
    (2) Form SF-424A, ``Budget Information--Non-Construction

[[Page 32612]]

Programs.'' In order for this form to be considered complete, the 
applicant must fill out Sections A, B, C, and D. The applicant must 
include both Federal and matching funds, including in-kind funds.
    (3) Form SF-424B, ``Assurances--Non-Construction Programs.'' In 
order for this form to be considered complete, the form must be signed 
by an authorized official and include the title, name of applicant, and 
date.
    (4) Form AD-1047, ``Certification Regarding Debarment, Suspension, 
and Other Responsibility Matters--Primary Covered Transactions.''
    (5) Form AD-1049, ``Certification Regarding Drug-Free Workplace 
Requirements.''
    (b) Letters of support.
    (c) Table of Contents: For ease of locating information, each 
proposal must contain a detailed Table of Contents immediately 
following the required forms. The Table of Contents should include page 
numbers for each component of the proposal. Pagination should begin 
immediately following the Table of Contents. Provide page numbers in 
the Table of Contents where each evaluation criterion is addressed.
    (d) Project Executive Summary: A summary of the Project Proposal, 
not to exceed one page, must briefly describe the project, including 
goals, tasks to be completed, and other relevant information that 
provides a general overview of the project.
    (e) Eligibility Discussion: A detailed discussion, not to exceed 
four pages, will describe how the applicant meets the eligibility 
requirements. In the event that more than four pages are submitted, 
only the first four pages will be considered. The eligibility 
discussion must address the following:
    (1) Applicant Eligibility: The applicant must first confirm it is 
an 1890 Institution. It must demonstrate that the personnel assigned to 
the project have the expertise and experience necessary to fulfill the 
tasks set forth in the project proposal, including the use of computer 
technologies and technical assistance.
    (2) Project Eligibility: The applicant must describe how the 
project's eligible beneficiaries are located in a rural area as defined 
in 7 U.S.C. 1991(a)(13)(A) with a demonstrated economic need and how 
eligible beneficiaries are also located in communities that show 
significant community support for the proposal. The applicant must show 
how it is to provide matching funds equal to at least 25 percent of the 
total project costs. The applicant must provide the address of the 
Internet Web presence linked to the USDA Rural Development Web site or 
demonstrate how such a link will be developed.
    (f) Project Proposal: The application must contain a narrative 
statement describing the nature of the proposed project. Each of the 
proposal evaluation criteria referenced in this funding announcement 
must be addressed, specifically and individually, in narrative form. 
The proposal must include at least the following:
    (1) Project Title Page: The Title Page must include the title of 
the project, names of principal investigators, and applicant 
organization.
    (2) Introduction: A concisely worded justification or rationale for 
the proposal must be presented. Summarize the social and economical 
statistical data (income, population, employment rate, poverty rate, 
educational attainment, etc.) for the project area that substantiates 
the need for the initiative. Specify whether the target area includes a 
Federally designated Empowerment Zone/Enterprise Community, Champion 
Community, Federally-recognized Indian Reservation, or other Federally 
declared economic disaster area. An applicant must address the 
``Economic Need of Community'' evaluation criterion as described in 
Section VII.1.(c).
    (3) Workplan: Discuss the approach (strategy) to be used in 
carrying out the proposed project outreach and achieving the proposed 
objectives. Address the ``Statement of Work'' evaluation criterion as 
described in Section VII.1.(e). A description of any subcontracting 
arrangements to be used in carrying out the proposed project must be 
included. The workplan also must include:
    (i) Overview: Identify and discuss the specific goals and 
objectives of the proposed project and its impact on the proposed 
beneficiaries;
    (ii) Timeframes: Develop a tentative timeline for completing the 
major tasks outlined in the project proposal;
    (iii) Project Outcomes/Impacts: Describe and quantify the expected 
outcomes/impacts of the proposed project, including the businesses 
created, professionals trained, jobs created or assisted, conferences 
and seminars to be conducted, and the expected number of participants, 
loans packaged, etc.;
    (iv) Recipient Involvement: Identify the person(s) responsible for 
performing the project tasks; and
    (v) USDA Rural Development Involvement: Identify proposed USDA 
Rural Development responsibilities for assisting and monitoring project 
tasks;
    (4) Budget Narrative: Provide a detailed budget justification, 
showing both Federal and applicant's matching funds, including in-kind 
contributions. Provide a budget to support the workplan, showing all 
sources and uses of funds during the project period. Detail and 
document both cash and in-kind funding by sources. Note that only goods 
and services for which no expenditure is made can be considered in-
kind. If the applicant is paying for the goods and services as part of 
the matching funds contribution, the expenditure is considered a cash 
match and should be verified as such.
    (5) Certification of Matching Funds: Certify that matching funds 
will be available at the same time Federal funds are anticipated to be 
spent and that matching funds will be spent on a pro rata basis with 
Federal funds. Please note that this certification is a separate 
requirement from the verification of Matching Funds requirement.
    (6) Leveraging Funds: Discuss in narrative form how the Institution 
will use Federal, State, private, and other sources of funds and 
resources to leverage the proposed project.
    (7) Coordination and Management Plan: Describe how the project will 
be coordinated among the various participants, the nature of the 
collaborations and benefits to participants, communities, applicants, 
and Rural Development. Describe plans for the management of the project 
to ensure its proper and efficient administration. Discuss any steering 
committees and/or Agreements developed to assist with managing the 
project. Describe the proposed scope of Rural Development's involvement 
in the project.
    (8) Technology Outreach: The project proposal must address the 
applicant's ability to deliver computer technology to the targeted 
rural communities and maintain computer Internet Web sites linking 
community leaders and residents to available economic development 
information. Address the ``Digital Technology Outreach'' evaluation 
criterion as described in Section VII. 1.(f).
    (9) Key Personnel Support: The roles and responsibilities of key 
personnel used to carry out the goals and objectives of the proposal 
should be clearly described. An abbreviated curriculum vitae should be 
provided for all key personnel.
    (10) Facilities or Equipment: Identify where the project will be 
located (housed) and what additional equipment is needed or already 
available to carry out the specific objectives of the project.
    (11) Previous Accomplishments: Summarize the Institution's previous

[[Page 32613]]

outreach and development accomplishments, including success stories 
from previous years for projects funded by USDA Rural Development or 
similar outreach or development experiences. First-time applicants 
should discuss previous similar outreach accomplishments. Address the 
``Previous Accomplishments'' evaluation criterion as described in 
Section VII.1.(d).
    (12) Local and USDA Rural Development State Office Support: Provide 
letters of support from the local community, such as businesses, 
educational institutions, local governments, community-based 
organizations, etc. Letters of support should demonstrate commitments 
for tangible resources and/or assistance. Include any letter from the 
appropriate USDA Rural Development State Office, evidencing its input 
to the proposal or other involvement. Identify and discuss tangible 
support contained in the letters. Evaluation points will be based on 
the quality (tanagible support) of the letters, not quantity.
    (13) Additional information: Provide any additional information 
that demonstrates commitment for tangible resources and/or that 
supports the proposal. Additionally, the applicant is encouraged to 
provide any strategic plan that has been developed to assist 
cooperative and business development or entrepreneurship for the 
targeted communities.

V. Intergovernmental Review of Applications

    Executive Order (EO) 12372 does not apply to this program.

VI. Funding Restrictions

    Public Law 109-97, Sec. 708, states ``No funds appropriated by this 
Act may be used to pay negotiated indirect cost rates on cooperative 
agreements or similar arrangements between the United States Department 
of Agriculture and nonprofit institutions in excess of 10 percent of 
the total cost of the agreement when the purpose of such cooperative 
arrangement is to carry out programs of mutual interest between the two 
parties.'' Indirect costs in excess of 10 percent of the direct cost, 
therefore, will be ineligible for funding. Cooperative agreement funds 
may not be used to:
    1. Plan, repair, rehabilitate, acquire, or construct a building or 
facility including a processing facility;
    2. To purchase, rent or install fixed equipment;
    3. Repair or maintain privately owned vehicles;
    4. Pay for the preparation of the application;
    5. Fund political activities;
    6. Pay costs incurred prior to receiving this agreement; or
    7. Fund any activities prohibited in 7 CFR parts 3015 and 3019, as 
applicable.
    Other funding restrictions are identified in Section III.

VII. Application Review

1. Criteria

    Project proposals will be evaluated using the following seven 
criteria. Each criterion is given the weight value shown with total 
points equal to 100. The points assigned provide an indication of the 
relative importance of each section and will be used by the reviewers 
in evaluating the proposals. Points do not have to be awarded for each 
criterion. After all proposals have been evaluated, the Administrator 
may award an additional 10 discretionary points to any proposal to 
obtain the broadest geographic distribution of the funds, ensure a 
broad diversity of project proposals, or ensure a broad diversity in 
the size of the awards.
    (a) Support of Local Community (Up to 10 points): This criterion 
evaluates the support of local government, educational, community, and 
business groups. Higher points will be awarded for proposals 
demonstrating broad support from all components of the communities 
served, particularly cooperative groups. Broad support is demonstrated 
by tangible contributions, such as providing volunteers, computers, and 
transportation or co-sponsoring workshops and conferences. Points will 
be awarded based on the level of tangible contribution in comparison to 
the size of the award. Tangible support must be stated in letters from 
supporting entities.
    (b) Matching Funds/Leveraging (Up to 10 points): This criterion 
evaluates the extent to which the Institution has the capacity to 
support the project with matching funds and leveraging additional funds 
and resources from State, private, public, and nonprofit sources to 
carry out this outreach and development initiative.
    A maximum of 10 points will be awarded based upon the amount the 
proposal exceeds the minimum 25 percent matching requirement. 
Applicants will be required to provide matching funds in support of 
this project. Evidence of matching funds availability must be provided. 
Funds or equivalent in-kind funding must be available at the time at 
which the cooperative agreement is entered. Matching funds points will 
be awarded as listed below:

>25 percent to 35 percent match, 2 points
>35 percent to 50 percent match, 5 points
>50 percent to 75 percent match, 7 points
>75 percent match, 10 points

    (c) Economic Need of Community (Up to 15 points): This criterion 
evaluates the economic need of the targeted communities.
    Five points will automatically be awarded to project proposals with 
at least one of the beneficiary communities located in a targeted 
community(s): Federally designated Empowerment Zones, Enterprise 
Communities, Champion Communities, Federally-recognized Indian 
Reservations, and other Federally declared economically depressed or 
disaster areas. The application must state the name(s) and location(s) 
of the economically depressed community(s) and the type(s) of targeted 
community designation (i.e., Empowerment Zone).
    Up to a maximum of 10 additional points may be awarded based upon 
the applicant's ability to identify and demonstrate other economic 
factors that would cause these communities to be targeted for special 
economic and community development, such as, but not limited to, 
unemployment rates, poverty rates, education levels, and job 
availability. These and other factors will be evaluated and compared to 
the respective State rates. An applicant must provide sufficient 
information for the panel to properly evaluate and rate this criterion.
    (d) Previous Accomplishments (Up to 10 points): This criterion 
evaluates the applicant's previous accomplishments with this initiative 
and/or its demonstrative capacity to conduct similar projects.
    One point will be awarded to an Institution for each year it has 
been awarded a cooperative agreement under this program up to a total 
of 5 years. An applicant must provide evidence of satisfactorily 
completing the cooperative agreement for each year for which credit is 
claimed. Satisfactorily completing the cooperative agreement includes, 
completing all objectives in the workplan, submitting all required 
program and financial reports in a timely manner, and within budget for 
the project. Applicants with less than 5 recent years of awards in this 
program may receive up to the maximum 5 points by highlighting the 
applicant's previous performance in each of the past 5 years on other 
projects with cooperative and business development and outreach 
objectives. The applicant

[[Page 32614]]

should discuss the potential impact of the project upon the targeted 
underserved rural communities, as well as describing previous similar 
outreach and development work.
    Up to a maximum of 5 additional points may be awarded based upon an 
applicant's ability to document the positive impact of its project upon 
the targeted underserved rural communities. Positive entrepreneurial 
developments should be emphasized. Points will be awarded to applicants 
who demonstrate that the project's technical assistance resulted in the 
creation of a business(s) in an economically challenged community or 
that its educational programs developed or improved upon the 
professional skills of rural entrepreneurs. The applicant must provide 
specific information as to the specific businesses created and/or 
professional educational programs offered.
    (e) Statement of Work (up to 35 points): This criterion evaluates 
the degree to which the proposed project addresses the major purposes 
for the 1890 REOD Initiative. Points will be awarded according to the 
degree to which the Statement of Work reflects: (1) Innovative 
strategies for providing technical assistance for business creation in 
economically challenged rural communities, (2) educational programs 
that develop and improve the professional skills of rural 
entrepreneurs, and (3) outreach and promotion of USDA Rural Development 
programs.
    Up to a maximum of 15 points will be awarded to proposed projects 
that have a clearly and concisely stated workplan detailing goals and 
objectives, timetables, expected results, and measurable outcomes for 
providing technical assistance for business creation in economically 
challenged rural communities. The greatest number of points will be 
awarded to those proposed projects that demonstrate innovative and 
creative ways to accomplish these goals.
    Up to a maximum of 10 additional points will be awarded to proposed 
projects that have a clearly and concisely stated workplan detailing 
goals and objectives, timetables, expected results, and measurable 
outcomes for educational programs to develop and improve the 
professional skills of rural entrepreneurs (i.e., sustainable 
agricultural practices, real estate sales, real estate appraising, 
accounting for small entrepreneurs, etc.). The greatest number of 
points will be awarded to those proposed projects that demonstrate 
innovative and creative ways to accomplish these goals.
    Up to a maximum of 10 additional points will be awarded to proposed 
projects for outreach and promotion of USDA Rural Development's 
programs in small rural communities with the greatest economic need. 
The greatest number of points will be awarded to those proposed 
projects that demonstrate innovative and creative ways to accomplish 
these goals.
    All proposals must integrate substantial USDA Rural Development 
involvement.
    (f) Digital Technology Outreach (Up to 10 points): This criterion 
evaluates the applicant's experience and capacity to provide outreach 
and assistance to targeted underserved rural communities through use of 
computer technologies.
    A maximum of 10 points will be awarded based upon the applicant's 
demonstrated capacity to promote innovations and improvements in the 
delivery of computer technology benefits, including a Web presence to 
underserved rural communities whose share in these benefits is 
disproportionately low. The Web site should be operational with a link 
to the USDA Rural Development Web site and populated with success 
stories and economic development information.
    (g) Coordination and Management of the Project (Up to 10 points): 
This criterion evaluates the applicant's demonstrated capacity to 
coordinate and manage the proposed project among the various 
stakeholders.
    Up to a maximum of 5 points will be awarded based upon the 
applicant's ability to demonstrate a broad and collaborative 
involvement with the respective USDA Rural Development State Office on 
the proposed project. This involvement and collaboration should 
include, but not be limited to: (1) Evidence of any USDA Rural 
Development State Office input in and review of the applicant's 
proposal, (2) a detailed plan for the USDA Rural Development State 
Office's continued participation in the proposed project that includes 
specific participatory tasks, and (3) a detailed plan as to how Rural 
Development programs can be integrated into the proposed project.
    Up to a maximum of 5 additional points will be awarded based upon 
applicant's demonstrated ability for overall management of the project, 
which include submitting timely program and financial reports, and 
completing workplan goals/objectives as stated in the proposal. 
Applicants must document in the proposal that all required reports have 
been submitted.

2. Selection Process

    Each application will be evaluated in a two-part process. First, 
each application will be reviewed to ensure that both the applicant and 
project meet the eligibility requirements set forth in Section III. All 
applicants determined to be eligible will be scored based upon the 
criteria set forth in Section VII. 1. Each eligible application will be 
scored by at least three expert reviewers. The individual scores for 
each application will be tallied, and applications receiving the 
highest scores will be recommended to the Administrator or Acting 
Administrator, Rural Business-Cooperative Service, for award. The 
Administrator or Acting Administrator has the final authority to award 
discretionary points in accordance with Section VII. 1. and determine 
the applications to be funded. If a tie score results after the 
proposals have been rated and ranked, the tie will be resolved by the 
proposal with the largest matching funds as a percent of the Federal 
amount of the selected award.

VIII. Award Administration

1. Award Notification

    Upon completion of the review process, successful applicants will 
be notified, in writing, by the USDA Rural Development National Office 
of its award. Each successful applicant will receive a cooperative 
agreement for signature by the Institution's president or designee. The 
document will become binding upon execution by the appropriate USDA 
official.
    Unsuccessful applicants will be notified, in writing, of the 
results of the review.

2. Advance of Funds Requirements

    Requests for advance of funds must be submitted to the National 
Office on a quarterly basis on a completed Form SF-270, ``Request for 
Advance or Reimbursement.'' A completed Form SF-269 (Long Form), 
``Financial Status Report,'' must be submitted with each advance of 
funds request.

3. Project Reviews

    USDA Rural Development State Office representatives will conduct 
semiannual onsite reviews of award recipients, as well as any 
additional reviews deemed necessary by the National Office.

4. Reporting Requirements

    During the term of the cooperative agreement, each award recipient 
must submit quarterly progress reports and a final report detailing the 
tasks performed and results accomplished to the National and 
appropriate State

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Offices. The report should also include a summary at the end of the 
report with the following elements to assist in documenting the annual 
performance measures of the 1890 program:
    (a) Number of businesses/cooperatives started/expanded in the 
targeted areas;
    (b) Number of currently active businesses/cooperatives in the 
targeted areas that were assisted;
    (c) Number of individuals/businesses/cooperatives/organizations 
assisted (training, technical assistance, feasibility studies, etc.); 
and
    (d) Number of individuals/businesses/cooperatives/organizations 
assisted with USDA Rural Development loan or grant programs or other 
similar programs.
    Quarterly reports must be submitted on or prior to January 31, 
April 30, July 31, and October 31, 2008. A final report must be 
submitted within 90 days of the date of the project's completion. 
Reports may be submitted in hard copy original or an electronic copy 
that includes all required signatures. Failure to submit satisfactory, 
timely reports may result in suspension or termination of current award 
and/or result in making your institution ineligible for future awards 
from this program.
    Upon the request of USDA Rural Development, the award recipient 
will submit manuscripts, videotapes, software, or other media 
identified in project proposals. USDA Rural Development retains those 
rights delineated in 7 CFR 3019.36.

5. Administrative Requirements

    Award recipients are responsible for:
    (a) Completing the objectives defined in the proposed workplan.
    (b) Maintaining up-to-date project records during the term of the 
agreement.
    (c) Maintaining an accounting of Federal and matching fund 
expenditures, including in-kind contributions. Award recipients must 
submit to the National Office a completed Form SF-269 (Long Form) with 
each advance of funds request and within 90 days of the project's 
completion.
    (d) Immediately refunding to USDA Rural Development, at the end of 
the agreement, any balance of unobligated funds received from USDA 
Rural Development.
    (e) Providing matching funds or equivalent in-kind contribution in 
support of the project, at least to the level agreed to in the accepted 
proposal.
    (f) Participating in the annual or biannual USDA Rural Development 
Entrepreneurship and Information conferences/workshops when planned.
    (g) Developing a program of cooperative and business startup and 
technical assistance, in cooperation with local businesses, that will 
assist with new company development, business planning, new enterprise, 
franchise startup and consulting, business expansion studies, marketing 
analysis, cash flow management, and seminars and workshops for 
cooperatives and small businesses.
    (h) Providing office space, equipment, and supplies for all 
personnel assigned to the project.
    (i) Developing management and technical assistance plans in 
cooperation with the USDA Rural Development State Office that will:
    (1) Assess cooperative and small business alternatives to 
agriculture and other natural resources-based industries;
    (2) Assist in the development of business plans and loan packages, 
marketing, bookkeeping assistance, and organizational sustainability; 
and
    (3) Provide technical assistance and training, in cooperation with 
the USDA Rural Development State Office, for customer relations, 
product development, and business planning and development.
    (j) Assess local community needs, weaknesses and strengths, 
feasible alternatives to agriculture production, and the needed 
infrastructure to expand or develop new or existing businesses. The 
plans for any such studies must be submitted to the USDA Rural 
Development National Office for approval prior to the study being 
conducted.
    (k) Provide community leaders with advice and recommendations, in 
cooperation with the USDA Rural Development State Office, regarding 
best practices in community economic development stimulus programs for 
their communities.
    (l) Develop digital technology outreach and establish and maintain 
an Internet Web site to link community leaders and residents to 
available economic development information. USDA Rural Development must 
be included in the link to economic development information.
    (m) Assure and certify that it is in compliance with, and will 
comply in the course of the agreement with, all applicable laws, 
regulations, Executive Orders, and other generally applicable 
requirements, including those set out in 7 CFR parts 3015 and 3019.
    (n) Use Federal funds only to pay meeting-related travel expenses 
when employees are performing a service of direct benefit to the 
Government and in direct furtherance of the objectives of the proposed 
agreement. Federal funds cannot be used to pay non-Federal employees to 
attend meetings.
    (o) Not commingle or use program funds for administrative expenses 
to operate an intermediary relending program (IRP).
    (p) Submit to USDA Rural Development National Office, in writing, 
any request for revising the project work plan, including key personnel 
changes, budget reallocations, or requesting a no-cost extension 
amending the cooperative agreement.
    (q) Assist the USDA Rural Development State Office in conducting a 
semiannual on-site review of the recipient's project.
    (r) Collaborate, as needed, with the USDA Rural Development 
National and State Offices in performing the tasks in the agreement and 
providing the Rural Development National Office with the information 
necessary for the Agency to fulfill its responsibilities in the 
agreement.
    (s) Sign an Agency approved Cooperative Agreement.
    USDA Rural Development is responsible for:
    (a) Monitoring the program as it is being implemented and operated, 
including monitoring of financial information, to ensure that there is 
no commingling or use of program funds for administrative expenses to 
operate an IRP or other unapproved items.
    (b) Terminating activity, after written notice, if tasks are not 
met.
    (c) Reviewing and approving changes to key personnel.
    (d) Providing technical assistance as needed.
    (e) Approving the final plans for any community business workshops; 
cooperative, business, and economic development sessions; and training 
workshops to be conducted by the recipient.
    (f) Providing reference assistance, as needed, to the recipient for 
technical assistance given on a one-on-one basis to entrepreneurs and 
startup businesses.
    (g) Reviewing and commenting on strategic plans developed by 
recipients for targeted areas.
    (h) Reviewing economic assessments made by the recipient for 
targeted counties, enabling USDA Rural Development to determine the 
extent to which its programs are beneficial.
    (i) Carefully screening projects to prevent First Amendment 
violations.
    (j) Monitoring the program to ensure that a Web site link to USDA 
Rural Development is established and maintained.
    (k) Ensuring that USDA Rural Development State Offices conduct 
semiannual on-site reviews and submit written reports to the National 
Office.

[[Page 32616]]

    (l) Participating in 1890 outreach and development program 
workshops, seminars, and conferences as needed.
    (m) Providing any other work agreed to by USDA Rural Development in 
the Cooperative Agreement.

IX. Agency Contact

FOR FURTHER INFORMATION CONTACT: Edgar L. Lewis, Program Manager, USDA 
Rural Development, Cooperative Programs, Stop 3252, Room 4204, 1400 
Independence Avenue SW., Washington, DC 20250-3252. Telephone: (202) 
690-3407, e-mail: [email protected].

X. Paperwork Reduction Act

    The paperwork burden associated with this initiative has been 
cleared by the Office of Management and Budget under OMB Control Number 
0570-0041.

    Dated: June 7, 2007.
Jackie J. Gleason,
Administrator, Rural Business-Cooperative Service.
[FR Doc. E7-11408 Filed 6-12-07; 8:45 am]
BILLING CODE 3410-XY-P