[Federal Register Volume 76, Number 175 (Friday, September 9, 2011)]
[Notices]
[Pages 55883-55886]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-23065]


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DEPARTMENT OF DEFENSE

Office of the Secretary


Department of Defense Program for Construction, Renovation, 
Repair or Expansion of Public Schools Located on Military Installations

AGENCY: Office of Economic Adjustment (OEA), Department of Defense 
(DoD).

ACTION: Notice.

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SUMMARY: This notice describes a one-time DoD program, administered by 
OEA, to distribute $250 million made available by Congress to 
construct, renovate, repair, or expand elementary and secondary public 
schools on military installations in order to address capacity or 
facility condition deficiencies at such schools.

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DATES: Not applicable. Funds will be distributed as described in this 
notice until exhausted.

ADDRESSES: Not applicable. Appropriate information will be provided 
directly to invited applicants.

FOR FURTHER INFORMATION CONTACT: David F. Witschi, OEA Associate 
Director at (703) 604-6020 or [email protected].

SUPPLEMENTARY INFORMATION: The Secretary of Defense is authorized by 
Section 8109 of Public Law 112-10, the Department of Defense and Full-
Year Continuing Appropriations Act, 2011, and is choosing to act 
through OEA, to provide up to $250 million ``to make grants, conclude 
cooperative agreements, or supplement other Federal funds to construct, 
renovate, repair, or expand elementary and secondary public schools on 
military installations in order to address capacity or facility 
condition deficiencies at such schools: Provided further, that in 
making such funds available, OEA shall give priority consideration to 
those military installations with schools having the most serious 
capacity or facility condition deficiencies as determined by the 
Secretary of Defense.''
    OEA is establishing a one-time non-competitive program, as 
described in this notice, to administer this appropriation.

1. Program for Construction, Renovation, Repair, or Expansion of Public 
Schools Located on Military Installations

    On July 19, 2011, DoD approved a ``Public Schools on Military 
Installations Priority List'' (Priority List) that represents the 
Department's prioritization of those public schools on military 
installations with the most serious capacity or facility condition 
deficiencies. Using this list, those Local Educational Agencies (LEA's) 
representing the schools with the most serious capacity and facility 
condition deficiencies will be invited to submit a request for funding. 
DoD will conduct an initial meeting with the invited LEAs to discuss 
the specific deficiencies noted for the affected school, the purpose of 
the funding, the application process including a proposal submission 
timeline, and the minimum required matching share. After an LEA submits 
its proposal, a multi-disciplined Federal evaluation team will review 
the request and conduct a site visit to the respective school and 
community/installation prior to making a recommendation to the decision 
official, who is the OEA Director. A successful LEA will be asked to 
complete a formal grant application. Grant awards will be made to 
successful applicants until the available funds are exhausted.
    (a) Available Funds--Section 8109 of Public Law 112-10 provides 
$250 million to construct, renovate, repair, or expand elementary and 
secondary public schools on military installations in order to address 
capacity or facility condition deficiencies at such schools. Of this 
amount, OEA may enter into reimbursable agreements with other Federal 
entities, as OEA deems necessary, to help carry out compliance with the 
National Environmental Policy Act, construction grant oversight, and 
other activities on OEA's behalf for the effective implementation and 
administration of this appropriation. Funds not applied to such 
reimbursable agreements are available for awards to LEAs.
    (b) Priority Consideration--Section 8109 of Public Law 112-10, 
requires that in making such funds available, OEA shall give priority 
consideration to those military installations with schools having the 
most serious capacity or facility condition deficiencies as determined 
by the Secretary of Defense. On July 19, 2011, consistent with this 
appropriation language, DoD approved a Priority List that represents 
the Department's identification of those public schools on military 
installations with the most serious capacity or facility condition 
deficiencies, and which will be used to select the schools towards 
which the funds will be applied. A copy of the Department's Priority 
List may be viewed at http://www.militaryhomefront.dod.mil/l/onbaseschools. All questions concerning the Priority List should be 
directed to the Office of the Under Secretary of Defense for Personnel 
and Readiness, attention: Russell Roberts, Chief, Logistics Division, 
Department of Defense Education Activity at (703) 588-3502 or 
[email protected].
    (c) Eligible Applicants--Only LEAs that operate a public school on 
a military installation, and receive a written invitation from OEA, may 
request funds under this program. OEA will initially request LEAs with 
schools having the most serious capacity or facility condition 
deficiencies as determined by DoD to submit proposals. DoD will conduct 
an initial meeting with representatives of the invited LEAs, and 
representatives from their respective installations and States, to 
discuss the specific deficiencies noted for the affected school, the 
purpose of the funding, the application process, and the matching share 
requirement. As decisions are made, additional LEAs on the Priority 
List may be notified until all funds are exhausted.
    (d) Eligible Project Activities--Funds must be used by the LEA 
within a reasonable period of time to construct, renovate, repair, or 
expand the public school on a military installation as identified in 
the OEA invitation letter. The decision concerning whether new 
construction, renovation, repair, or expansion is the appropriate 
corrective action, as well as the need for ancillary facilities, such 
as recreation fields, etc., associated with the school project, will be 
made by the LEA, subject to review by OEA. Eligible project costs may 
include project administration, architectural/engineering, design, 
preparation of environmental documentation, inspection and testing, 
construction, equipment and furnishings, contingency costs, demolition 
of the facilities being replaced, renovated or repaired, and costs for 
swing space, if required, to implement the project. The LEA shall 
ensure that the project is functional, economical, and not elaborate in 
design or extravagant in the use of materials, compared with facilities 
of a similar type in the State or other applicable geographical area.
    (e) Supplement--Not Supplant--These funds may be used to supplement 
other Federal or non-Federal funds, but may not be used to supplant 
funds previously committed to or available for the project. LEA 
proposals must identify any funding, regardless of source, previously 
committed to or available for the project. OEA reserves the right to 
reduce an award by the amount of other funds determined to have been 
previously committed to the project.
    (f) Matching Share--A matching share, equal to not less than twenty 
(20) percent of the total project cost is required to be provided by 
the LEA. The matching share may be cash, an in-kind contribution, or a 
combination of both, and LEAs must demonstrate that the match is or 
will be available to permit timely execution of the project. For the 
purposes of this funding, LEAs may use other Federal-sourced or non-
Federal funds (State, local or private contributions) committed to or 
available for the project to meet the matching share requirement. LEAs 
will be encouraged to seek State and other funding, and to structure 
proposals to take best advantage of other contributions. OEA may waive 
part or the entire matching share requirement on a case-by-case basis 
of demonstrated LEA inability to pay. In such cases, the LEA will bear 
the burden of demonstrating an inability to pay to the

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satisfaction of OEA. Requests for waiver of the matching share 
requirement will be subject to an assessment conducted by OEA, in 
concert with other Federal agency participation as needed, to ensure 
that funds are used to supplement and not supplant other available 
funds, and to determine an appropriate matching contribution. In any 
case, projects must be completed with the amount of funds provided 
(together with other Federal or non-Federal funds, if necessary) and 
result in a complete and usable project.
    (g) Project Proposal and Preliminary Engineering Information--LEAs 
that are invited to apply will be asked to submit a project proposal 
within 90 days, and an OEA staff member will be assigned to work with 
the LEA as a resource to answer any questions about the proposal 
process. If a proposal cannot be completed within 90 days, the LEA 
should submit a status report and alternate timeline for its 
completion. The following proposal information will assist OEA in 
determining compliance with legal and programmatic requirements:
     A general description of project components and 
preliminary engineering report;
     Sketches or schematics showing general layout and location 
of existing site conditions and the proposed project;
     A feasibility analysis that supports the preferred 
alternative (replacement, renovation, repair or expansion) to address 
the school's capacity and/or facility condition deficiencies;
     Any structural or soils reports or other studies used in 
the analysis of the proposed project design decision;
     A current cost estimate, including the estimated cost for 
architectural/engineering design and inspection, environmental 
compliance, construction, demolition, any equipment that is moveable or 
is not built-in to the project, and swing space requirements, if 
included in the project. Provide the basis for the determination of 
construction contingencies;
     A comparison to costs and construction standards used at 
other LEA-owned schools located off the installation;
     A list of permits required for the proposed project and 
their current status;
     An estimated time schedule for design, permitting, bidding 
and award of contracts and construction;
     A statement of support for the proposal from the host 
installation that confirms that the project is compatible with the 
installation operations, airfield or land use plans;
     A statement that the project is not located in a FEMA-
identified special flood hazard area;
     A letter from the LEA stating that the matching funds are 
committed and readily available and will not be conditioned or 
encumbered in any way that would preclude their use for the project;
     Environmental information sufficient to evaluate all 
reasonable alternatives to the proposed project, the direct and 
indirect environmental impacts, as well as the cumulative impacts on 
the environment as defined in the Council on Environmental Quality's 
regulations for implementing the National Environmental Policy Act 
(NEPA), set out at 40 CFR 1500-1508;
     Financial information for the last four (4) operating 
cycles of the LEA demonstrating financial wherewithal to support the 
proposal, that available funds are not being supplanted and, where 
necessary, justifying any matching share waiver request.
    (h) Federal Evaluation Team--The OEA Director will designate a 
multi-disciplined Federal Evaluation Team to review each LEA request 
for funding and conduct a site visit to the respective school and 
community. The scope of the Team's review will be uniform for all 
proposals evaluated. Composition of the Team may include participation, 
including financial underwriting expertise, from the Office of the 
Under Secretary of Defense for Personnel and Readiness, the Military 
Services, the U.S. Department of Education, and other Federal agencies 
as needed. The Team will evaluate the appropriateness of the LEA's 
proposed method of corrective action, i.e., new construction, 
renovation, repair, or expansion, and the project's responsiveness to 
the Department's Priority List. In the event the LEA requests a waiver 
of the matching share requirement, the Team will also assess the waiver 
request and identify an appropriate matching share for the project. The 
Team will make its recommendation to the decision official, who is the 
OEA Director.
    (i) NEPA--Awards are subject to compliance with NEPA and the 
Council on Environmental Quality NEPA regulations. Preparation of an 
appropriate environmental impact analysis for selected projects is the 
responsibility of the successful applicant in coordination with the 
respective installation. OEA will notify the Commanding Officer of the 
military installation on which the school is located that the LEA has 
been invited to request funding for an on-installation school 
construction, renovation, repair or expansion project, and request that 
the installation cooperate with the LEA in the preparation of an 
appropriate environmental impact analysis. Based on an independent 
evaluation of the environmental impact analysis prepared by the 
applicant, a pre-award NEPA determination (e.g., FONSI) will be made by 
OEA. The applicant's cost for preparing the NEPA documentation is a 
reimbursable project expense.
    (j) Sequence of Funding Decisions--The OEA Director will make 
funding decisions generally according to the DoD Priority List. That 
is, the OEA Director will generally make funds available first to the 
schools with the most serious capacity or facility condition 
deficiencies before making funds available to schools with less serious 
capacity or facility condition deficiencies. To expedite this process, 
OEA will invite an initial group of the schools designated as having 
the most serious deficiencies to concurrently submit their respective 
project proposals. Once decisions are reached for this initial group, 
the next group(s) will be invited to apply, to the extent funds remain 
available.
    (k) Final Application--Once a project scope has been finalized and 
the OEA Director has made a decision on an LEA proposal, the LEA will 
be invited to complete an eGrant application (Office of Management and 
Budget Standard Form 424) under Catalog of Federal Domestic Assistance 
Number: 12.600. Subject to receipt of a complete application and 
completion of the NEPA process, the LEA will receive a notice of award 
in the form of a Grant Agreement, signed by the OEA Director (Grantor), 
on behalf of DoD. The Grant Agreement will be transmitted 
electronically.
    (l) Site Control and Post Award Responsibilities--While most public 
schools on military installations are owned by the LEAs that operate 
them, some of these public schools, although operated by an LEA, are 
currently owned by the U.S. Government (U.S. Department of Education or 
the U.S. Army). OEA will require, as a condition of receiving 
assistance under this program, that the LEA evidence: Adequate site 
control to permit necessary construction, renovation, repair, 
expansion, demolition and/or swing space activities; beneficial 
ownership of the new, expanded, or renovated facility; and 
responsibility for operation and maintenance of the new, renovated, or 
expanded facility for the remainder of its useful life in accordance 
with Federal, State and local requirements, including at a minimum, 
maintaining previous levels of operation and maintenance funding. The 
Grantee may not charge students or school

[[Page 55886]]

personnel for the ordinary use of facilities, furnishing, or equipment 
purchased with grant funds. The Grantee shall administer and supervise 
implementation of the project, maintaining competent architectural 
supervision and inspection at the project site to ensure the work 
conforms to the approved drawings and specifications.
    (m) Administrative and National Policy Requirements--The Grantee 
and any consultant/contractor operating under the terms of a grant 
shall comply with all Federal, State, and local laws applicable to its 
activities including the following: National Environmental Policy Act; 
National Historic Preservation Act; 32 CFR part 33, ``Uniform 
Administrative Requirements for Grants and Cooperative Agreements to 
State and Local Governments''; OMB Circulars A-87, ``Cost Principles 
for State and Local Governments'' and the revised A-133, ``Audits of 
States, Local Governments and Non-Profit Organizations''; 32 CFR part 
25, ``Government-wide Debarment and Suspension (Non-procurement)''; 32 
CFR part 26,''Drug-free Workplace''; and 32 CFR part 28, ``New 
Restrictions on Lobbying (Grants).''
    (n) Reporting--OEA requires interim performance reports and one 
final performance report for each award. The performance reports will 
contain information on the following:
     A comparison of actual accomplishments to the objectives 
established for the reporting period;
     Reasons for any slippage and proposed plan to mitigate;
     Additional pertinent information when appropriate;
     A comparison of actual and projected expenditures for the 
period;
     The amount of awarded funds on hand at the beginning and 
end of the reporting period.
    The final performance report must contain a summary of activities 
for the entire award period. An SF 425, ``Financial Status Report,'' 
must be submitted to OEA within ninety (90) days after the end date of 
the award. Any grant funds actually advanced and not needed for grant 
purposes shall be returned immediately to the Office of Economic 
Adjustment.
    OEA will provide a schedule for reporting periods and report due 
dates in the Award Agreement.

2. Agency Contacts

    For further information, to answer questions regarding this notice, 
or for help with problems, contact: David F. Witschi, OEA Associate 
Director, telephone: (703) 604-6020, e-mail: [email protected] 
or regular mail at 400 Army Navy Drive, Suite 200, Arlington, VA 22202-
4704. Specific questions concerning the Department's Public Schools on 
Military Installations Priority List should be directed to the Office 
of the Under Secretary of Defense for Personnel and Readiness, 
attention: Russell Roberts, Chief, Logistics Division, Department of 
Defense Education Activity at (703) 588-3502 or 
[email protected].

3. Other Information

    The OEA Internet address is http://www.oea.gov.

    Dated: September 6, 2011.
Aaron Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
[FR Doc. 2011-23065 Filed 9-8-11; 8:45 am]
BILLING CODE 5001-06-P