[Federal Register Volume 85, Number 63 (Wednesday, April 1, 2020)]
[Notices]
[Pages 18280-18282]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-06715]


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NATIONAL CREDIT UNION ADMINISTRATION


Community Development Revolving Loan Fund Access for Credit 
Unions

ACTION: Notice of Funding Opportunity.

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FUNDING OPPORTUNITY TITLE: Community Development Revolving Loan Fund 
(CDRLF) Grants.

CATALOG OF FEDERAL DOMESTIC ASSISTANCE (CFDA) NUMBER: 44.002.
SUMMARY: The National Credit Union Administration (NCUA) is issuing 
this Notice of Funding Opportunity (NOFO) to announce the availability 
of technical assistance grants (awards) for low-income designated 
credit unions (LICUs) through the CDRLF. The CDRLF serves as a source 
of financial support in the form of loans and technical assistance 
grants that better enable LICUs to support the communities in which 
they operate. All grant awards made under this NOFO are subject to 
funds availability and are at the NCUA's discretion.

Table of Contents

A. Program Description
B. Award Information
C. Eligibility Information
D. Application and Submission Information
E. Application Review Information
F. Federal Award Administration
G. Federal Awarding Agency

A. Program Description

    The purpose of the CDRLF is to assist LICUs in providing basic 
financial services to their members to stimulate economic activities in 
their communities. The CDRLF consists of Congressional appropriations 
that are administered by the NCUA. Through the CDRLF, the NCUA provides 
financial support in the form of awards to LICUs. These funds help 
improve and expand the availability of financial services to these 
members.
    The NCUA will consider requests for various funding initiatives. 
More detailed information about the purpose of each initiative, amount 
of funds available, funding priorities, permissible uses of funds, 
funding limits, deadlines and other pertinent details will be defined 
in the grant round guidelines. In addition, the NCUA may periodically 
publish information regarding the CDRLF in Letters to Credit Unions, 
press releases, and/or on the NCUA website.

1. Funding Initiatives

    The list of potential funding initiatives available during 2020 
includes the following:
    i. COVID-19 Emergency Support;
    ii. Digital Services and Cybersecurity;
    iii. Training;
    iv. Minority Depository Institution (MDI) Mentoring; and
    v. Underserved Outreach.

2. Authority and Regulations

    i. Authority: 12 U.S.C. 1772c-1, 1756, 1757(5)(D), and (7)(I), 
1766, 1782, 1784, 1785 and 1786;
    ii. Regulations: The regulation governing the CDRLF is found at 12 
CFR part 705. In general, this regulation is used by the NCUA to govern 
the CDRLF and set forth the program requirements. Additional 
regulations related to the low-income designation are found at 12 CFR 
parts 701.34 and 741.204. For the purposes of this NOFO, an 
``Applicant'' is a Participating Credit Union that submits a complete 
application to the NCUA under the CDRLF. The NCUA encourages Applicants 
to review the regulations, this NOFO, the grant round guidelines, and 
other program materials for a complete understanding of the program.

B. Award Information

    Approximately $1.5 million in awards will be available through this 
NOFO. The NCUA reserves the right to: (i) Award more or less than the 
amounts cited above; (ii) fund, in whole or in part, any, all, or none 
of the applications submitted in response to this NOFO; and (iii) 
reallocate funds from the amount that is anticipated to be available 
under this NOFO to other programs, particularly if the NCUA determines 
that the number of awards made under this NOFO is fewer than projected. 
General information about the purpose of each funding initiative and 
the maximum award amount is provided below.

1. Purpose of Funding Initiatives

    i. COVID-19 Emergency Support: The COVID-19 Emergency Support 
initiative is intended to help credit unions assist members 
experiencing economic hardships due to the coronavirus, particularly 
members that are most impacted by the situation. Funds may be used to 
address the financial needs of impacted members, to help credit unions 
respond to the unexpected and unforeseen challenges of COVID-19, and to 
alleviate the impact of the crisis on the credit union and its 
community. Due to the severity of the situation, the NCUA may relax 
some of the administrative and programmatic requirements for Applicants 
under this initiative.
    ii. Digital Services and Cybersecurity: The Digital Services and 
Cybersecurity initiative helps credit unions implement the 
infrastructure to build a digital relationship with their members and 
safeguard credit union information from cybersecurity threats. Access 
to digital financial services will improve the ability of credit unions 
to serve their communities. It is crucial for credit unions to expand 
financial products and services for members through digital channels. 
Ensuring that the appropriate processes are in place to continually 
safeguard the credit union's digital assets and activities is equally 
important. The objective of this initiative is to help credit unions 
establish a new digital service or strengthen cybersecurity in order to 
benefit the members. This initiative is not intended to fund continuous 
projects or cover costs associated with normal maintenance of digital 
services or cybersecurity.
    iii. Training: The Training initiative focuses on helping credit 
unions develop the skills and talents of employees through specialized 
management programs and advanced training courses. The goal of this 
initiative is to enhance the operational knowledge of credit union 
employees and support staff professional development.
    iv. Underserved Outreach: The Underserved Outreach initiative is 
designed to help credit unions implement innovative outreach strategies 
that will improve the financial well-being of individuals living in 
underserved areas within a credit union's field of membership. This 
initiative focuses on providing quality financial products and services 
to underserved population segments such as minority groups, youth & 
millennials, veterans, and immigrants. The NCUA's priority areas for 
2020 Underserved Outreach grants will allow credit unions to fund 
projects that benefit individuals returning to the community following 
incarceration, promote first-time homeownership, and improve the access 
of financial products and services

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to people with disabilities. The goal of this initiative is for credit 
unions to employ outreach strategies that produce positive growth 
outcomes for the credit union and improve the financial health of 
individuals.
    v. MDI Mentoring: The MDI Mentoring initiative is intended to 
encourage mentoring relationships between LICUs (mentors) and small 
LICU MDIs (mentees). This initiative was designed to encourage strong 
and experienced low-income designated credit unions to provide guidance 
to small low-income designated MDI credit unions to increase their 
ability to thrive and serve low-income and underserved populations. No 
more than five awards are expected to be made under this NOFO.

2. Maximum Award Amount

    The maximum amount for a CDRLF award is determined by the type of 
funding initiative. There is no minimum amount for CDRLF awards. The 
maximum award amount for each funding initiative is provided below.

i. COVID-19 Emergency Support--$10,000

ii. Digital Services and Cybersecurity--$7,000

iii. Training--$4,000

iv. MDI Mentoring--$25,000

v. Underserved Outreach--$25,000

C. Eligibility Information

1. Eligible Applicants

    This NOFO is open to credit unions that meet the eligibility 
requirements defined in 12 CFR part 705. A credit union must have a 
low-income designation obtained in accordance with 12 CFR 701.34 or 
741.204 in order to participate in the CDRLF.
    i. Non-Federally Insured Applicants: Each Applicant that is a non-
federally insured, state-chartered credit union must submit additional 
application materials. These additional materials are more fully 
described in 12 CFR 705.7(b)(3) and in the application.
    a. Non-federally insured, state-chartered credit unions must agree 
to be examined by the NCUA. The specific terms and covenants pertaining 
to this condition will be provided in the award agreement of the 
Participating Credit Union.

2. Data Universal Numbering System (DUNS) Number

    The Data Universal Numbering System (DUNS) number is a unique nine-
character number used to identify your organization. The federal 
government uses the DUNS number to track how federal money is 
allocated. Registering for a DUNS number is FREE. Applicants can obtain 
a DUNS number by visiting the Dun & Bradstreet (D&B) website or calling 
1-866-705-5711. The NCUA will not consider an application that does not 
include a valid DUNS number issued by Dun and Bradstreet (D&B). Such an 
application will be deemed incomplete and will be declined.

3. Employer Identification Number

    Each application must include a valid and current Employer 
Identification Number (EIN) issued by the U.S. Internal Revenue Service 
(IRS). The NCUA will not consider an application that does not include 
a valid and current EIN. Such an application will be deemed incomplete 
and will be declined. Information on how to obtain an EIN may be found 
on the IRS's website.

4. System for Award Management

    All Applicants are required by federal law to have an active 
registration with the federal government's System for Award Management 
(SAM) prior to applying for funding. SAM is a web-based, government-
wide application that collects, validates, stores, and disseminates 
business information about the federal government's trading partners in 
support of the contract awards, grants, and electronic payment 
processes. An active SAM account status and CAGE number is required to 
apply for a CDRLF award. Credit unions that have an existing 
registration with SAM must recertify and maintain an active status 
annually. The SAM registration and recertification process is FREE. 
First-time SAM users can register by following the instructions in the 
Quick Start Guide for New Registrations. Existing users can recertify 
or renew their SAM account status by following the instructions in the 
Quick Start Guide for Renewing Registrations. The NCUA will not 
consider an applicant that does not have an active SAM status. Such an 
application will be deemed incomplete and will be declined.

5. Other Eligibility Requirements

    i. Financial Viability: Applicants must meet the underwriting 
standards established by the NCUA, including those pertaining to 
financial viability, as set forth in the application and defined in 12 
CFR 705.7(c).
    ii. Compliance with Past Agreements: In evaluating funding requests 
under this NOFO, the NCUA will consider an Applicant's record of 
compliance with past agreements. The NCUA, in its sole discretion, will 
determine whether to consider an application from an Applicant with a 
past record of noncompliance, including any deobligation (i.e., removal 
of unused awards) of funds.
    a. If an Applicant is in default of a previously executed agreement 
with the NCUA, the NCUA will not consider an application for funding 
under this NOFO.
    b. If an Applicant is a prior Participating Credit Union under the 
CDRLF and has unused awards as of the date of application, the NCUA may 
request a narrative from the Applicant that addresses the reason for 
its record of noncompliance. The NCUA, in its sole discretion, will 
determine whether the reason is sufficient to proceed with the review 
of the application.

D. Application And Submission Information

1. Application

    Under this NOFO, all applications must be submitted online in the 
NCUA's web-based application system, CyberGrants, in order to be 
considered. Applications must be submitted online at https://www.cybergrants.com/ncua/applications. The application and related 
documents are also located on the NCUA's website at https://www.ncua.gov/services/Pages/resources-expansion/grants-loans.aspx.

2. Minimum Application Content

    A complete application will consist of similar components for each 
funding initiative. At a minimum, each initiative requires a narrative 
response that describes the Applicant's proposed use of the CDRLF 
award. The NCUA reserves the right to waive this requirement for any 
funding initiatives with a defined list of allowable project 
activities. The NCUA will identify the funding initiatives that do not 
require a narrative response in the grant round guidelines. Other 
application contents that are specific to a particular funding 
initiative will be defined in the grant round guidelines found on 
NCUA's website.

3. Submission Dates and Times

    i. COVID-19 Emergency Support: The NCUA will accept applications 
beginning March 27, 2020, at 9:00 a.m. eastern time (ET) for this 
initiative. Applications must be submitted by May 22, 2020, at 11:59 
p.m. ET.
    ii. All Other Initiatives: The NCUA will accept applications 
beginning May

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1, 2020, at 9:00 a.m. eastern time (ET). Applications must be submitted 
by June 30, 2020, at 11:59 p.m. ET. Late applications will not be 
considered.

E. Application Review Information

1. Eligibility and Completeness Review

    The NCUA will review each application to determine whether it is 
complete and that the Applicant meets the eligibility requirements 
described in the regulations, the grant round guidelines, and in this 
NOFO. An incomplete application or one that does not meet the 
eligibility requirements will be declined without further 
consideration.

2. Evaluation Criteria

    Each funding initiative, due to its structure and impact, may have 
varying degrees of evaluation criteria assigned. The evaluation 
criteria for each funding initiative is fully described in the grant 
round guidelines.

3. Application Review

    The purpose of the application review is to determine whether an 
application satisfies the criteria set forth for each particular 
funding initiative. The NCUA will evaluate each application in 
accordance with the criteria and procedures described in the grant 
round guidelines. The NCUA reserves the right to contact the Applicant 
during its review for the purpose of clarifying or confirming 
information contained in the application. If so contacted, the 
Applicant must respond within the time specified by the NCUA or the 
NCUA, in its sole discretion, may decline the application without 
further consideration.

4. Scoring and Funding Decision

    The NCUA will make its funding decision based on a scoring system 
that establishes a ranking position for each application. The 
applications will be ranked according to the scoring criteria set forth 
for each funding initiative in the grant round guidelines.

F. Federal Award Administration

1. NCUA Award Notice

    The NCUA will notify each Applicant of its funding decision by 
email. In addition, the NCUA will announce the successful applications 
through a press release that includes a list of the Awardees. 
Applicants that are approved for funding will also receive instructions 
on how to proceed with the post-award activities.

2. Administrative and National Policy Requirements

    i. Award Agreement: The specific terms and conditions will be 
established in the award agreement each Participating Credit Union must 
sign prior to formally accepting an award. Each Participating Credit 
Union under this NOFO must enter into an agreement with the NCUA before 
the NCUA will disburse the award funds. The agreement includes the 
terms and conditions of funding, including but not limited to the: (i) 
Award amount; (ii) grant award details; (iii) roles and 
responsibilities; (iv) accounting treatment; (v) signature pages; and 
(vi) reporting requirements.
    ii. Failure to Sign Agreement: The NCUA, in its sole discretion, 
may rescind an award if the Applicant fails to sign and return the 
agreement or any other requested documentation, within the time 
specified by the NCUA.

3. Reimbursement Process

    Applicants that are approved for funding will be responsible for 
the complete and timely submission of the post-award activities. This 
includes, but it is not limited to, signing the award agreement and 
completing a reimbursement request. Successful Applicants must submit a 
reimbursement request in order to receive the awarded funds. The 
reimbursement requirements are different depending on the funding 
initiative. The NCUA will define the reimbursement requirements for 
each funding initiative in the post-award guidelines.
    The reimbursement request may require, all or a combination of, the 
following items: (i) Evidence of expenses, (ii) project related 
documentation, (iii) a summary of project accomplishments and outcomes, 
or (iv) a certification form signed by a credit union official (e.g. 
CEO, manager, or Board Chairperson) authorized to request the 
reimbursement and make the certifications. The NCUA, in its sole 
discretion, may modify these requirements. In general, successful 
Applicants are required to submit the reimbursement request before the 
expiration date specified in the award agreement.

G. Federal Awarding Agency

1. Methods of Contact

    Further information can be found at https://www.ncua.gov/services/Pages/resources-expansion/grants-loans.aspx. For questions related to 
the CDRLF, email the NCUA's Office of Credit Union Resources and 
Expansion at [email protected].

2. Information Technology Support

    People who have visual or mobility impairments that prevent them 
from using the NCUA's website should call (703) 518-6610 for guidance 
(this is not a toll free number).

    By the National Credit Union Administration Board on March 26, 
2020.
Gerard Poliquin,
Secretary of the Board.
[FR Doc. 2020-06715 Filed 3-31-20; 8:45 am]
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