[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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