40642 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices

DEPARTMENT OF HOUSING AND

URBAN DEVELOPMENT

DEPARTMENT OF HEALTH AND

HUMAN SERVICES

[Docket No. FR–4240–N–01]

Notice of Funding Availability

Community Partnerships for Resident

Uplift and Economic Development

AGENCIES: Sponsors of this interagency

public/private competitive grant

announcement are:

(a) Department of Housing and Urban

Development (HUD):

(1) Office of the Assistant Secretary

for Public and Indian Housing, Office of

Community Relations and Involvement

(OCRI);

(2) Office of the Assistant Secretary

for Community Planning and

Development, Empowerment Zones and

Enterprise Communities (EZ/EC);

(b) Department of Health and Human

Services (HHS):

(1) Administration for Children and

Families, Office of Community Services

(OCS);

(2) Administration for Children and

Families, Office of Family Assistance

(OFA);

(3) Administration for Children and

Families, Child Care Bureau (CCB);

(4) Office of Intergovernmental

Affairs;

(c) Department of Agriculture (USDA):

(1) Cooperative State Research,

Education, and Extension Service; and

(d) Boys & Girls Clubs of America

(B&GCA).

ACTION: Notice of Funding Availability

(NOFA).

SUMMARY: Several Federal and private

agencies are combining over $6 million

dollars in program funds and technical

assistance in a consolidated competitive

grant initiative entitled Community

Partnerships for Resident Uplift and

Economic Development. The purpose of

this initiative is to create neighborhoodbased programs to move families

residing in public housing and the

adjacent neighborhood from welfare to

self-sufficiency. To accomplish this, the

sponsors are pursuing and linking two

(2) primary strategies:

(1) Encourage the creation of

employment and business development

opportunities for low-income people

through business, physical or

commercial development in the

neighborhood; and

(2) Provide an array of supportive

services in neighborhood-based

comprehensive service centers (and

accessible to persons with disabilities)

to enable participants to successfully

make and sustain the transition to selfsufficiency.

Approximately seven (7) urban,

suburban and rural communities of

varying sizes will be selected.

The sponsors of this initiative are

three (3) separate Federal departments,

specifically HUD, HHS, and USDA, as

well as a major national private sector

organization, the Boys & Girls Club of

America (please see the above list under

the heading AGENCIES:). They are

coordinating several existing programs

in one integrated solicitation. It is

important to understand that this is a

coordinated grant, not a block grant.

Although there is only one grant

announcement (this NOFA) and a single

application package for funding under

this initiative, each sponsoring agency

will award and administer the grants

through a coordinating committee

composed of program managers from

each of the agencies (the Interagency

Agreement reflects this arrangement).

Co-applicants could receive up to two

Federal grant awards (HUD and HHS)

and additional funding from the Boys &

Girls Club of America for this

collaborative project.

The structure of the initiative reflects

this collaborative approach.

Specifically, at a minimum, there must

be two co-applicants: a public housing

authority and a community

development corporation. There may be

other co-applicants. Co-applicants carry

legal responsibility for the performance

of the grant. The co-applicants must

develop partnerships with the residents,

one or more local businesses, and the

State Welfare and Child Care

departments in order to be considered

for this grant.

An important feature of this initiative

is its short duration and ambitious

agenda. The initiative, therefore, is

geared to housing authority

communities which already have in

place operational components such as

needs assessments and economic

development incentive packages. The

intent of this initiative is to integrate

existing resources and focus them on

families affected by welfare reform to

achieve the specific outcome of selfsufficiency.

Application Deadline Dates: HUD will

serve as the receiving agency for

applications on behalf of all the cosponsors.

(a) Applications for funding under

this NOFA must be physically received

at the correct HUD Headquarters Office

on or before September 12, 1997 at 3:00

pm, local time. This application

deadline is firm as to date and hour.

(b) In the interest of fairness to all

competing co-applicants, the

Departments will treat as ineligible for

consideration any application that is

received after the respective program

deadline. Co-applicants should take this

practice into account and make early

submission of their materials to avoid

any risk of loss of eligibility brought

about by any unanticipated or deliveryrelated problems. Delivery of

applications by facsimile (FAX) is not

acceptable.

Application Submission

Requirements: The Community

Partnerships for Resident Uplift and

Economic Development NOFA is

required as the formal submission to

apply for funding under this initiative.

The application checklist in Appendix

A contains information on all exhibits

and certifications required under this

NOFA, as well as additional guidance.

An application package consists of one

application per each co-applicant. Only

one application from each co-applicant

may be submitted under this initiative

(See Appendix A for each co-applicant’s

submission within the consolidated

application package). The NOFA may be

obtained from the HUD Resident

Initiatives Clearinghouse, telephone

1–800–955–2232.

An original application and two

identical copies of the original

application must be received by the

deadline at the following address. It is

not sufficient for an application to bear

a postage date within the submission

time period. Applications should be

addressed to: Patricia Arnaudo, Senior

Program Advisor, U.S. Department of

Housing and Urban Development, Office

of Community Relations and

Involvement, 451 Seventh Street, SW,

Room 4126, Washington, DC 20410–

5000. Applications may also be

addressed to La Wanda Young,

Administrative Officer, at the same

address.

Program Information Contacts: For

questions concerning the Department of

Housing and Urban Development

(HUD), contact Patricia Arnaudo, Office

of Community Relations and

Involvement, 451 7th Street SW

Washington DC 20410, telephone (202)

619–8201 ext. 4250 or call HUD’s

Resident Initiatives Clearinghouse,

telephone (800) 955–2232; or consult

the funding cross reference under

HUD’s Business and Community Partner

HomePage on the Internet’s World Wide

Web (http://www.hud.gov/

bushome.html): look under funding,

then under Public Housing, and then

under OCRI.

For questions concerning the U.S.

Department of Health and Human

Services, contact Thelma Woodland,

HHS Administration for Children and
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40643

Families, 370 L’Enfant Promenade S.W.,

Washington D.C. 20447, telephone (202)

401–5294, fax (202) 401–4687, e-mail:

twoodland@acf.dhhs.gov.

Hearing-or-speech impaired persons

may call (800) 877–8339. (Federal

Information Relay Service TTY.) Except

for the ‘‘800’’ number, these telephone

numbers are not toll-free.

SUPPLEMENTARY INFORMATION:

Table of Contents

Part I—Preamble and Summary Overview

(a) Background

(b) Purpose

(c) Funding

(d) Structure

(1) Co-Applicants

(2) Required Partnerships

(3) Coordination

(e) Promoting Comprehensive Approaches

to Housing and Community

Development

Part II—Program Specifications

(a) Authority

(b) Definitions

(c) Eligible Participants

(d) Maximum Grant Amount

(e) Matching Requirements

(f) Eligible Activities

(g) Term of Grant

Part III—Application Process

(a) Threshold Requirements

(b) Selection Criteria

(c) Selection Processing

Part IV—General Grant Requirements

(a) Grant Administration

(b) Cost Principles

(c) Ineligible Contractors

(d) Freedom of Information Act

(e) Grant Staff Personnel

(f) Grant Agreement

(g) Duplication of Funds

(h) Risk Management

(i) Treatment of Income

(j) Reports and Closeout

Part V—Findings and Certifications

(a) Paperwork Reduction Act

(b) Environmental Impact

(c) Federalism Executive Order

(d) Prohibition of Advance Disclosure of

Funding Decisions

(e) Section 102 of the HUD Reform Act—

Documentation, Access, and Disclosure

(f) Prohibition Against Lobbying Activities

(g) Intergovernmental Review

(h) Standard Form 424

(i) Standard Form 424A

(j) SF–424B ‘‘Assurances-NonConstruction’’

(k) Certification Regarding Environmental

Tobacco Smoke

(l) Certification Regarding Drug-Free

Workplace Requirements

(m) Catalog of Federal Domestic Assistance

Numbers

Appendix A—Application Checklist

Appendix B—Program Elements for the Joint

Initiative

Appendix C—Developing a Child Care

System

Appendix D—Guidelines of a Business Plan

Appendix E—Poverty Income Guidelines

(HHS)

Appendix F—OMB State Single Point of

Contact Listing (HHS)

Part I—Summary and Overview

(a) Background

The recent passage of The Personal

Responsibility and Work Opportunity

Reconciliation Act of 1996 (Pub. L. 104–

73) transformed the former Aid to

Families with Dependent Children

(AFDC) program into the Temporary

Assistance to Needy Families Program

(TANF). This change confronts the

public housing and surrounding

communities with a profound challenge

and opportunity. The role of the Federal

government changed from manager of

the welfare system to a partner with the

states in identifying how best to assist

recipients to effect their transition from

welfare to work. As a result, it is

important that the combined funding of

a variety of discretionary programs from

the sponsoring Federal Departments be

used to encourage local partnerships

and innovation in utilizing public and

private resources to address complex

problems with the corresponding

multiple strategies as contained in this

initiative. This specifically entails the

simultaneous implementation of

accessible human services centers,

economic development, and job creation

with the primary focus on individual

economic self-sufficiency.

Approximately forty percent (40%) of

the families residing in public housing

list AFDC/TANF as their primary source

of income. The rewards of moving this

substantial segment of the public

housing residents from welfare

dependency to work and self sufficiency

have never been more clear. The

potential consequences of failure are

equally clear and threaten not only the

economic well being of individual

families, but of entire public housing

neighborhoods that could experience

significant losses of rental income as

residents become ineligible for further

welfare assistance.

(b) Purpose

(1) This initiative is designed to assist

public housing residents and others in

the surrounding neighborhood who are

affected by welfare reform in becoming

economically self-sufficient. The cosponsors believe that an effective joint

welfare-to-work program requires

leveraging of existing resources. Two

primary strategies will be pursued:

(i) Revitalize the public housing

neighborhood by attracting public and

private investment for business or

commercial development and create

new, full-time, permanent jobs and/or

business ownership opportunities in

those businesses and industries for the

target population affected by welfare

reform. Co-applicants should be able to

immediately identify existing or new

businesses and industries, especially

those in projected job growth areas, that

would be willing to expand their

activities and/or relocate into the target

area, pursuant to a package of economic

incentives. This will entail coordination

with currently operational economic

development strategies. It will also

require in most instances a mix of

different businesses/industries that are

willing to design and dedicate a certain

number and type of positions

appropriate for the target population.

Among the fastest growing and

marketable employment growth areas in

various sizes and types of American

communities are property management

and maintenance, education, child care,

information systems, environmental

services, and health care. Co-applicants

are urged to focus their job development

strategies in these or other documented

local growth areas.

(ii) Support the participating residents

in their transition to self-sufficiency by

concentrating supportive services in

human service centers including nearby

schools and business/employer

facilities, located within or in proximity

to the targeted public housing

development at locations that are highly

visible and accessible to persons with

disabilities. It is envisioned that the

following essential supportive services

will be available: child care, remedial

and vocational education (permitted to

be off-site to take advantage of local

resources), job readiness preparation,

transportation and other health and

human resources deemed important to

prepare and support the residents in

their transition from welfare to work.

(2) Key elements for this two-pronged

approach include:

(i) Implementing larger communitybased strategic plans, such as the

Empowerment Zone/Enterprise

Community strategies, to optimize the

use of community resources and more

effectively achieve the economic and

community revitalization in public

housing neighborhoods.

(ii) Leveraging of existing Federal,

State and local human, material, real

property and financial resources

(including tax abatements and related

financial investment incentives) to

support the revitalization activities.

(iii) Creating a child care system with

linkages to other comprehensive

supportive services through a plan

addressing consumer education,

utilization of existing resources, and

development of a coordinated network

of new and existing child care homes
40644 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices

and centers and before/after school

activities.

(iv) Enhancing or developing

appropriate recreational, tutoring,

mentoring and related activities for

children and youth located in the

targeted neighborhoods.

(3) This joint initiative is particularly

relevant to the Administration’s mission

of strengthening the American family

and promoting self-sufficiency. This

program has goals of increasing the

access of low-income people to

employment-related opportunities,

improving job skills, and improving the

integration, coordination, and

continuity of the various services

potentially available to families living in

poverty.

Additional information regarding

these program ingredients is contained

in Appendices B and C.

(c) Funding

HUD and HHS are each making $2.5

million available for award under this

joint initiative.

The Boys & Girls Clubs of America is

making up to $500,000 available to

selected co-applicants for after school

programs and other youth development

activities providing constructive

environments for children of program

participants.

The Departments of Housing and

Urban Development, Health and Human

Services, and Agriculture will provide

technical assistance related to the

implementation of economic and job

development strategies related to EZ/EC

communities, child care, employment

preparation and coordinated

transportation systems to facilitate the

participating residents’ transition from

welfare-to-work efforts.

(d) Structure

This is a three year initiative. Grants

will be awarded by September 30, 1997

and are expected to be underway

immediately upon award. Since a

comprehensive, integrated strategy is

important to enable families to achieve

self-sufficiency, this initiative is

designed to foster collaboration between

the public and private sectors. Toward

this end, a number of components and

features are required.

(1) Co-Applicants

Co-sponsored applications are

required. The co-applicants will

function as joint administrators to

develop, direct, and coordinate

appropriate financial and human

resources. Together, they will be

responsible for creating and managing

the essential community-based social

and economic architecture to assure

successful implementation.

At a minimum, each application must

have a Housing Authority (HA) and

Community Development Corporation

(CDC) as co-applicants to be eligible. All

HAs (urban, rural, suburban, except

Indian Housing Authorities) and CDCs

are eligible. The co-applicants must

identify a grant manager to assure

effective administration and resource

integration.

The required co-applicants may also,

if they wish, have additional coapplicants, such as nonprofit and forprofit corporations and public bodies,

including their agencies or

instrumentalities.

All co-applicants must have a legal

partnership evidenced by an executed

Memorandum of Agreement (MOA)

which delineates the partners’ roles and

responsibilities for grant administration.

Co-applicants are considered an integral

part of the application and cannot be

changed once applications are

submitted and under review without

disqualifying an application. If a coapplicant is awarded a grant, it must

obtain HUD and HHS approval prior to

dissolving a partnership with a coapplicant or significantly changing its

role. Dissolution of the Joint Grant is not

permitted and is considered grounds for

default under the Grant Agreement.

(2) Required Partnerships

The HA and CDC partners must

secure partnerships with appropriate

social, economic, educational,

transportation, and employment

readiness agencies in the public and

private sector in advance of applying for

the funds under this joint initiative.

Through these partnerships, the public

and private service providers will

describe the specific resources to be

provided in the targeted community,

and the process for consulting with

residents to assure successful

implementation of programs. The

specific requirements for each

partnership are described in Part III,

Section (a)—Threshold Requirements.

Required partnerships with the HA and

CDC include, but are not limited to:

(i) Partnership with Residents: The

purpose of this partnership is to

promote customer participation in the

planning and implementation of the

project.

(ii) Partnership with Business/

Industry: The purpose of these

partnerships is to provide incentives for

businesses or industries to locate in the

target area and create new and/or

expand existing job opportunities for

residents affected by welfare reform.

(3) Other Partnerships

(i) Boys & Girls Club Partnership:

Applications with a partnership with

the local Boys & Girls Club to provide

enhanced child care, afterschool

services, or other youth development

activities may receive funding from the

Boys & Girls Club of America. This

funding will be provided to the local

Boys & Girls Club to support those

activities.

(ii) Empowerment Zone/Enterprise

Community Partnership: In addition,

special consideration will be given for

collaboration with Empowerment Zone/

Enterprise Community Agencies as this

type of partnership can have substantial

impact on the number of new jobs

created in these communities.

(4) Coordination

This joint initiative will be

coordinated locally through a grant

manager designated by the coapplicants.

A Federal Interagency Coordinating

Committee will oversee this joint

initiative at the national level. An

Interagency Agreement, signed by all

participating Federal agencies (HUD,

HHS, and USDA) outlines the

administrative, legal and fiscal

responsibilities agreed upon by each

agency. The Coordinating Committee,

constituted by program officers from

each participating agency, will be

responsible for the development and

implementation of the grant application

review, rating and selection process,

and monitoring of the progress of grants,

except that HHS will assume sole

responsibility for any construction or

renovation. The Chair of the Interagency

Coordinating Committee will rotate

among the participating agencies.

Ultimate responsibility on grant

implementation will be retained by each

agency on individual grants.

(e) Promoting Comprehensive

Approaches to Housing and Community

Development

HUD is interested in promoting

comprehensive, coordinated approaches

to housing and community

development. Economic development,

community development, public

housing revitalization, homeownership,

assisted housing for special needs

populations, supportive services, and

welfare-to-work initiatives can work

better if linked at the local level.

Toward this end, HUD in recent years

has developed the Consolidated

Planning process designed to help

communities undertake such

approaches.

In this spirit, it may be helpful for coapplicants under this NOFA to be aware
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40645

of other related HUD NOFAs that have

recently been published or are expected

to be published in this fiscal year. By

reviewing these NOFAs with respect to

their program purposes and the

eligibility of co-applicants and

activities, co-applicants may be able to

relate the activities proposed for

funding under this NOFA to the recent

and upcoming NOFAs and to the

community’s Consolidated Plan.

With respect to community and

economic development, the following

related NOFAs have been published: (1)

The NOFA for the Community Outreach

Partnership Centers (March 20, 1997, at

62 FR 13506); (2) the NOFA for the

Tenant Opportunity Program—

Economic Development and Supportive

Services (June 6, 1997, at 62 FR 31272);

and (3) the NOFA for Historically Black

Colleges (May 12, 1997, 62 FR 26180).

To foster comprehensive, coordinated

approaches by communities, the

Department intends for the remainder of

FY 1997 to continue to alert coapplicants of HUD’s NOFA activity. In

addition, a complete schedule of NOFAs

published during the fiscal year appears

under the HUD Homepage on the

Internet, which can be accessed at http:/

/www.hud.gov/nofas.html. Additional

steps to better coordinate HUD’s NOFAs

are being considered for FY 1998.

To help in obtaining a copy of your

community’s Consolidated Plan, please

contact the community development

office of your municipal government.

Part II—Program Specifications

(a) Authority

This joint initiative is authorized

pursuant to:

(1) The Community Planning and

Development section of the 1997 HUD

Appropriations Act entitled, ‘‘An Act

Making Appropriations for the

Departments of Veteran Affairs and

Housing and Urban Development, and

for sundry independent agencies;

boards, commissions, corporations, and

offices for the fiscal year ending

September 30, 1997, and for other

purposes’’, (P.L. 104–204, approved

September 26, 1996), which provides

grants to housing authorities to enable

them to establish programs that increase

resident self-sufficiency.

(2) The Community Initiative program

is authorized by Sections 681(a) and

681(b)(1) of the Community Services

Block Grant Act (42 U.S.C. sections

9910(a) and (b)(1)), as amended. Under

the Community Initiative Program, the

HHS Secretary is authorized to make

funds available to support on-going

program activities of national or

regional significance to alleviate the

causes of poverty in economically

distressed communities with special

emphasis on community and economic

development activities.

(b) Definitions

Budget Period: The interval of time

into which a grant period of assistance

is divided for budgetary and funding

purposes.

Commitment: Documented evidence

in the form of a written obligation (on

appropriate letterhead) specifying:

(1) The dollar amount (or value),

source of funds or types of resources

promised for the program, and their use

in the program;

(2) The date of availability and

duration of funds or other types of

resources;

(3) The authority by which the

commitment is made (such as board

resolution, grant award notification);

and

(4) The signature of the appropriate

executive officer authorized to commit

the resources.

Community Development Corporation

(CDC): A private, nonprofit entity,

governed by a board consisting of

residents of community and business

and civic leaders, which has as a

principal purpose planning, developing,

or managing low-income housing or

community development projects (proof

of non profit status, i.e., the IRS

determination letter of tax exemption

must be included.)

Community Facility: A non-dwelling

structure that provides space for

multiple supportive services for the

benefit of public housing residents (as

well as others eligible for the services

provided) including but not limited to:

child care, after-school activities for

youth, job training, Campus of Learners

activities, and English as a Second

Language (ESL) classes.

Construction Projects: For the purpose

of this announcement, construction

projects, funded only by HHS, involve

land improvements and development or

major renovation of (new or existing)

facilities and buildings, including their

improvements, fixtures and permanent

attachments. HHS will have sole

responsibility for reviewing

construction-related projects.

Development: Has the same meaning

as the term ‘‘Project’’ below.

Distressed Community: A geographic

urban neighborhood or rural community

of high unemployment and pervasive

poverty.

Empowerment Zones/Enterprise

Communities: Those communities

designated as such by the Secretaries of

Agriculture or Housing and Urban

Development.

Equity Investment: The provision of

capital to an organization for use as

working capital or for some other

specified purpose in return for a portion

of ownership.

Job Placement: Placing a person in an

existing vacant job of a business,

service, or commercial activity not

related to new development or

expansion activity.

Project: For an HA’s purposes, is the

same as ‘‘low-income housing project’’

as defined in section 3(b)(1) of the

United States Housing Act of 1937 (42

U.S.C. 1437 et.)

Public Housing Agency (HA): Any

state, county, municipality, or other

governmental entity or public body (or

agency or instrumentality thereof)

which is authorized to engage in or

assist in the development and operation

of low-income housing.

Resident Council (RC): An

incorporated or unincorporated

nonprofit organization or association

that consists of persons residing in

public housing and that meets each of

the requirements specified in 24 CFR

964.115.

Resident Management Corporation:

An entity that consists of residents

residing in public housing and that

meets the requirements specified in 24

CFR 964.120.

Rural: An area that is not within the

outer boundary of a metropolitan entity

having a population of 25,000 or more

and contiguous communities with a

population density of 100 persons or

more per square mile according to the

latest decennial census. Such an area

may be located entirely within one State

or made up of contiguous interstate

communities.

Secretary: The Secretary of Housing

and Urban Development and/or the

Secretary of Health and Human

Services, as appropriate.

Surrounding Neighborhood: A

geographic area within a jurisdiction of

a unit of general local government (but

not the entire jurisdiction unless the

population of the unit of general local

government is less than 25,000)

designated in comprehensive plans,

ordinances, or other local documents as

neighborhood, village, or similar

geographical designation, or the entire

jurisdiction of a unit of general local

government with a population that is

less than 25,000.

Technical Assistance: A problemsolving event generally utilizing the

services of an expert. Such services may

be provided on-site, by telephone, or

other means of communication. These

services address specific problems and

are intended to assist with the
40646 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices

resolution of a given problem or set of

problems.

(c) Eligible Participants

Residents of public housing and

residents in the surrounding

neighborhood who are below the

poverty line and affected by the welfare

reform legislation (including AFDC/

TANF recipients, legal immigrants,

disabled SSI recipients, etc.) are eligible

to participate in and/or receive the

benefits of this grant. Section 8 tenants

with certificates or vouchers or tenants

in Section 8 project-based units are

eligible to participate in and/or receive

the benefits of this grant, as long as they

are residing in the surrounding

neighborhood as identified in the

application. Eligible participants also

include low-income residents in the

neighborhood surrounding the HA

project, who are displaced workers; atrisk teenagers; non-custodial parents,

particularly those of children receiving

AFDC/TANF assistance; individuals

who are homeless; and those with

developmental disabilities.

Projects proposed for funding must

result in direct benefits to low-income

people as defined in the most recent

Annual Revision of Poverty Income

Guidelines published by HHS (See

Appendix E).

Annual revisions to the Poverty

Income Guidelines are normally

published in the Federal Register in

February or early March. Grantees will

be required to apply the most recent

guidelines throughout the project

period. These revised guidelines may be

obtained at public libraries,

Congressional offices, or by writing the

Superintendent of Documents, U. S.

Government Printing Office (GPO),

Washington, D.C. 20402. No other

government agency or privately-defined

poverty guidelines are applicable for the

determination of low-income eligibility

for the OCS programs.

Note, however, that low-income

individuals granted lawful temporary

resident status under Section 245A or

210A of the Immigration and

Nationality Act, as amended by the

Immigration Reform and Control Act of

1986 (Public Law 99–603) may not be

eligible for direct or indirect assistance

based on financial need under this

program for a period of five years from

the date such status was granted.

(d) Maximum Grant Amounts

(1) The maximum combined grant

awards are estimated to be as follows:

(i) For housing authorities with 1 to

1,250 units, the maximum grant award

is $400,000 in combined HHS/HUD

funds.

(ii) For housing authorities with 1,251

to 10,000 units, the maximum grant

award is $600,000 in combined HHS/

HUD funds.

(iii) For housing authorities with more

than 10,000 units, the maximum grant

award is $1.2 million in combined HHS/

HUD funds.

(2) Note: HUD and HHS funds will be

awarded to HAs and CDCs respectively.

Budgets must therefore be broken down

to separate HUD/HHS funds. Amounts

may or may not be equal in sum from

HUD/HHS.

(e) Matching Requirements

HUD funds must be matched dollarfor-dollar (100%) in either in-kind

(including contributions of personnel,

space and/or equipment) or in cash.

HHS funds do not require any matching

contribution. If a match is included,

grantees will be held accountable and a

disallowance could result from failure

to meet the match. See Part III, Section

(a), Item 8 (Leveraging Other Resources)

for more detailed information.

(f) Eligible Activities

Please note that grantees will need to

establish separate books of account for

any specific funding sources, including

the two prime Federal programs. Under

OMB Cost Circulars (A–87, A–21, A–

110, and A–122), grantees may not

duplicate funding from (i.e., charge the

same costs to) this joint grant and any

other funding sources, although the

costs of budget line items may be shared

between the grant and other funding

sources in accordance with allocation

criteria in the applicable OMB Cost

Circular. Adequate financial controls

must be in place to assure compliance

with these requirements.

While an array of eligible activities, as

described below, can be funded with

HHS resources, the activities must be

linked directly to the development of

new employment opportunities and/or

the preparation and support of the

individuals that will be employed in the

new jobs. ‘‘Job creation’’ means new

jobs that are realized as a result of an

HHS funded project. This includes the

development of either new or expanding

business, service, physical and

commercial activities. The jobs created

must not have been in existence prior to

the start of the project. Job creation is to

be distinguished from job placement

services which are concerned with the

placing of a person in an existing vacant

job or business, service or commercial

activity not related to new development

or expansion. Following is a description

of eligible activities:

(1) Economic Development activities

includes activities essential to facilitate

job creation and economic uplift and

provide access to the skills and

resources needed for self-development

and business development. HUD funds,

however, cannot be used toward capital

costs for acquisition, construction, and

equipment. Economic development

activities may include:

(i) Entrepreneurship training (e.g.,

literacy training, computer skills

training, business development

planning);

(ii) Entrepreneurship development

(e.g., entrepreneurship training

curriculum, entrepreneurship courses);

(iii) Job creation activities (i.e., new

jobs which result from new or expanded

businesses, services, or commercial

activities). For OCS funding, the jobs

created must not have been in existence

prior to the start of the project;

(iv) Micro/Loan fund entails

developing a strategy for establishing a

revolving micro loan fund and/or

capitalizing a loan fund. A loan fund

(from non-grant funds and/or grant

funds) may be included as part of a

comprehensive entrepreneurship

training program. HHS/OCS funds may

not be used to establish or expand

revolving loan funds;

(v) Developing credit unions entails

creating on-site credit union(s) to

provide financial and economic

development initiatives to HA residents.

The credit union could support the

normal financial management needs of

the community (i.e., check cashing,

savings, consumer loans, microbusinesses and other revolving loans);

HUD funds cannot be used to capitalize

a credit union. HHS/OCS funds cannot

be used for any type of credit union

activity.

(vi) Employment training and

counseling (e.g., job training,

preparation and counseling, job search

assistance, job development and

placement, and continued follow-up

assistance after job placement); and

(vii) Employer linkage and placement

includes collaboration with area

employers to determine job placement

and training issues and on-going followthrough with residents placed in

training or full-time positions; please

note that HHS/OCS funds for economic

development are limited to providing

job related training for newly created

(not existing) jobs; program components

involving training and placement in

existing vacant positions are not eligible

for HHS/OCS funding.

(2) Supportive Services entail the

provision of services to assist eligible

residents become economically selfsufficient, particularly families with

children where the head of household

would benefit from the receipt of
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40647

supportive services and is working,

seeking work, or is preparing for work

by participating in job-training or

educational programs. Please note that

HHS funding is restricted to activities

related to new job creation as discussed

above, under Economic Development

Activities. Supportive services may

include:

(i) Child Care, of a type that provides

sufficient hours of operation and serves

appropriate ages as needed to facilitate

parental access to education and job

opportunities, and ensure the healthy

development of children. Categories of

care include center-based child care,

family child care and in-home child

care;

(ii) Employment training and

counseling (e.g., job training such as

apprenticeship programs, job

preparation and counseling, job search

assistance, job development and

placement, and continued follow-up

assistance after job placement);

(iii) Computer-based educational

opportunities, skills training, and

economic development activities;

(iv) Education (e.g., remedial

education, literacy training, assistance

in the attainment of certificates of high

school equivalency, trade school

assistance, two-year college tuition

assistance, youth leadership skills and

related activities). Activities may

include peer leadership roles training

for youth counselors, peer pressure

reversal, life skills, goal planning;

(v) Youth mentoring of a type that

mobilizes a potential pool of role

models to serve as mentors to public

housing youth. Mentor activities may

include after-school tutoring, drug abuse

treatment, job counseling or mental

health counseling;

(vi) Transportation costs, as necessary

to enable any participating family

member to commute to training,

supportive services’ activities and/or

place of employment, including but not

limited to assessing needs and

resources, purchase of transit passes,

joint purchase of vehicles with local

transit providers, assistance with

vehicle repairs and maintenance;

(vii) Personal welfare (e.g., family/

parental development counseling,

parenting skills training for adult and

teenage parents, substance/alcohol

abuse treatment and counseling, and

self-development counseling, etc.);

(viii) Supportive health care services

(e.g., outreach and referral services); and

(ix) Any other services and resources

that are determined to be appropriate in

assisting eligible residents.

(3) The employment of service

coordinator(s)/case manager(s). For the

purposes of this NOFA, a service

coordinator/case manager is any person

who is responsible for one or more of

the following functions:

(i) Assessing the training and

supportive service needs of eligible

residents;

(ii) Working with community service

providers to coordinate the provision of

services and to tailor the services to the

needs and characteristics of eligible

residents;

(iii) Monitoring and evaluating the

delivery, impact, effectiveness and

outcomes of supportive services under

this program;

(iv) Coordinating this program with

other self-sufficiency, education and

employment programs;

(v) Performing other duties and

functions that are appropriate to assist

eligible public housing and other

neighborhood residents to become selfsufficient;

(vi) Mobilizing other national and

local public/private resources and

partnership; and

(vii) Any other services and resources

proposed by the co-applicant and

approved by the co-sponsors that are

determined to be appropriate in

assisting eligible residents.

(g) Term of Grant/Period of Availability

of Funds

With certain exceptions of HHS grant

funds, all funds must be expended

within three years (36 months) after the

effective date of grant agreement. Grant

implementation progress must be

evident and documented within the first

six (6) months of grant award. Grantees

must have completed all but grant closeout activities within 30 months after the

effective date of the grant agreement.

Grant terms may not be extended

without substantial good cause

(circumstances reasonably unforeseen

and reasonably beyond the grantee’s

control) and are subject to approval by

HUD and HHS. Concerning HHS grant

funds, co-applicants with projects

involving construction only may request

project and budget periods of up to 36

months. Co-applicants for nonconstruction projects under these

priority areas may request project and

budget periods of up to 17 months.

Part III—Application Process

Each application that is submitted in

a timely manner to the HUD

Headquarters Office of Community

Relations and Involvement and that

otherwise meets the requirements of this

NOFA will be evaluated competitively

on a joint basis by the sponsoring

Federal agencies under the auspices of

the Federal Interagency Coordinating

Steering Committee using a point scale.

Co-applicants may submit only one

application package under this NOFA

(See Appendix A for each co-applicant’s

submission within a consolidated

package). The proposed funding can be

no more than the cost limits described

in Section I.(e) above.

(a) Threshold Requirements

The following information must be

contained in the application as

threshold requirements to be considered

essential for rating and ranking as

discussed in Section III.(b) of this

NOFA.

(1) Joint Application

The application must be jointly

submitted by the HA and the CDC, and

there must be an MOA between the two

organizations.

(2) Needs Assessment Report

The application must contain a report

on the proposed recipient population

that includes, at minimum, sections

containing statistical or survey

information that addresses the economic

status of the target and surrounding area

(including a description of local

business conditions), the relative needs

of the recipient population in the

affected community(s) to be served, and

an identification of economic strategies

and supportive services resources to

meet the needs. The Needs Assessment

Report must include supporting data to

justify the economic needs of the

development/neighborhood to be

served, the viability of existing

businesses in the area and prospective

opportunities for job growth, and

identified businesses or industries

which are under-represented in the area

that could improve the economic

vitality of the neighborhood.

(3) Grant Implementation Plan

The application must contain a grant

implementation plan (See Appendix A).

The plan must be based on a thorough

examination of the public housing and

adjacent neighborhood needs and

resources and address a portion of the

needs in the Needs Assessment Report.

The plan must, at a minimum, include

the following:

(i) A component promoting training,

employment and contracting

opportunities through the HA (in

accordance with section 3 of the

Housing and Urban Development Act of

1980; see 24 CFR part 135);

(ii) A brief description outlining how

the plan conforms to the applicable state

AFDC/TANF and child care plans,

community economic development

strategies and job creation efforts.
40648 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices

(iii) A business plan (can be an

existing or a new business plan);

(iv) Specific measurable objectives

(such as the objective of 200 residents

being employed, 10 resident businesses

started, and 250 residents completing

GED requirements) to be achieved as a

result of grant activities;

(v) Major milestones and activities

necessary to accomplish the goals;

(vi) A timetable for accomplishing

activities;

(vii) A detailed budget;

(viii) A description of how resources

and/or services firmly committed by the

co-applicants and other partners are

effectively directed to support the

residents self-sufficiency efforts and

how they will be provided for at least

three years. To be considered firmly

committed there must be a written

agreement to provide the resources.

These resources must be provided for a

period of at least three years. The

written agreement may be contingent

upon a co-applicant receiving a grant

award;

(ix) Identification of a grant manager,

selected by the co-applicants, to assure

effective administration and resource

integration.

(x) Identification of HA

development(s) and surrounding

neighborhoods to be assisted under this

joint initiative.

(4) Required Partnerships

(i) Partnership with Business/

Industry: The application must contain

signed commitments from businesses or

industries that intend to participate

describing how these businesses/

industries will create new and/or

expand existing job opportunities for

residents in the target area. The

following specific features must be

included:

(A) Jobs to be created will

accommodate the projected number of

AFDC/TANF and other residents

affected by welfare reform targeted for

employment. This does not suggest that

a single business/industry must employ

only AFDC/TANF residents or absorb

all the targeted population. It is

anticipated that a variety of businesses/

industries will be needed to produce the

appropriate number and type of

employment opportunities.

(B) The co-grantees will have

authority to screen co-applicants for

jobs to be filled by AFDC/TANF

recipients and to verify their eligibility.

(ii) Partnership with Residents: The

application must contain a written

commitment to involve residents of the

target area in plan development and

implementation, and a corresponding

commitment from appropriate resident

groups. The residents may be

represented by a Resident Council,

Resident Management Corporation, or

applicable neighborhood association or

tenant organization. Also, experience

with such collaborations should be

described.

(iii) Partnership with a Boys & Girls

Club (if B&GCA funds are sought):

The application must contain a

Memorandum of Agreement (MOA)

between the co-applicants and the

appropriate Boys & Girls Club that will

be providing enhanced services to the

HA communities. Boys & Girls Club

funds are added on and will be

provided to the co-applicants’ awarded

funds.

(5) Welfare and Child Care Plan Linkage

The application must provide

documentation from the appropriate

State welfare agency that the proposed

Grant Implementation Plan is consistent

with the State TANF (welfare) and Child

Care Plans or the State’s proposed plans

to date. In order to be consistent with

these State plans, the implementation

plan must have a performance objective

that would result in a majority of the

participants becoming self-sufficient

and working by the deadline for the

termination of AFDC/TANF assistance

set by the State. In addition, the coapplicants’ plan must be guided by the

goals, objectives and schedules of the

State TANF plan both overall and to the

extent that such goals, objectives and

schedules are set for individual families.

With respect to time limits, the coapplicants must, however, comply with

the restrictions of this joint initiative if

its requirements conflict with those of

the State Welfare plan. For example, the

State Welfare Plan may give the AFDC/

TANF recipients five years to leave

public assistance, but this joint program

is to be completed within three years

regardless.

(6) Focus on Residents affected by

Welfare Reform

The application must provide written

evidence from the co-applicants that all

(100%) of area residents to be targeted

in the proposed program are affected by

the welfare reform legislation, including

AFDC/TANF recipients, legal

immigrants, and disabled SSI recipients.

(7) Accessible Community Facility(s)

The application must contain

evidence (e.g., through a use agreement)

that a preponderance of the proposed

activities will be administered at

community facilities in or within easy

access of the specific public housing

development(s). These facilities must be

accessible to persons with disabilities.

This may include deprogrammed units,

existing community space or off-site

facilities, such as a neighborhood

school. If units have to be converted

from dwelling use into a community

facility or a facility to be constructed,

the co-applicants must submit a plan for

the conversion or construction that

provides for adequate resourcing and a

time schedule. Only HHS funds may be

used for construction or renovation. If

the proposed community facility is to be

provided by an entity other than the coapplicants, the application must include

an agreement with the proper authority

(owner or operator of the site) for use of

the proposed facility. The community

facilities must be operational within

nine (9) months of the grant award. In

the case of applications for programs to

be implemented for the primary benefit

of residents in housing that is dispersed

in a rural setting, the co-applicants must

provide evidence that participants will

have access to transportation to the

facility that is convenient. This

community facility requirement also

shall not apply to reverse commute

activities that provide transportation to

jobs that are distant from the dwellings

of participants.

(8) Leveraging Other Resources

(Matching Requirements)

(i) For HUD-sponsored funds, the

application (including the budget,

narrative, and other Memoranda of

Agreement (MOAs)) must clearly

evidence firm commitments for nongrant resources and services equal to the

HUD grant amount proposed in the

application. These resources and

services can include commitments from

HUD’s Comprehensive Grant, all other

governmental units/agencies of any type

and/or private sources, whether for

profit or nonprofit. However, current

HUD/Economic Development and

Supportive Services and HHS/

Community Services funds do not

qualify as a part of the match. The

match amount may consist of a

monetary commitment of funds, such as

in-kind or other types of contributions.

The remainder of the one for one match

can consist of personnel, space, and/or

equipment.

(ii) For HUD, the following are OMB

guidelines for valuing certain types of

in-kind contributions:

(A) The value of volunteer time and

services shall be computed at a rate of

five dollars per hour except that the

value of volunteer time and service

involving professional and other special

skills shall be computed on the basis of

the usual and customary hourly rate

paid for the service in the community

where the joint initiative is located;
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40649

(B) The value of any donated material,

equipment, building, or lease shall be

computed based on the fair market

value at time of donation. Such value

shall be documented by bills of sales,

advertised prices, appraisals, or

information for comparable property

similarly situated not more than oneyear old taken from the community

where the item or program is located, as

appropriate.

(iii) No match is required for HHS

funds. However, if a match is included,

third party in-kind contributions are

defined as the value of non-cash

contributions provided by non-Federal

third parties which may be in the form

of real property, equipment, supplies

and other expendable property, and the

value of goods and services directly

benefitting and specifically identifiable

to the project or program. Also, grantees

will be held accountable and a

disallowance could result from failure

to meet match.

(9) PHMAP Score

An HA co-applicant must provide

documentation that its last Public

Housing Management Assessment

Program (PHMAP) score included an

overall ‘‘B’’ average, as well as a ‘‘C’’ on

Indicator #7, Resident Services and

Community Building, and a ‘‘C’’ on

Indicator 6(a), Operating Reserves. (See

24 CFR Part 901 published December

30, 1996.) If the HA’s most recent

PHMAP score was based on the prior

PHMAP regulation, the HA must

provide documentation that its overall

score included an overall ‘‘B’’ average,

as well as a ‘‘C’’ on Indicator #11,

Resident Initiatives, and at least a ‘‘C’’

on Indicator #9, Operating Reserve. No

HA co-applicant designated as

‘‘troubled’’ as a result of its most recent

PHMAP score is eligible for this

initiative.

(10) Audit Findings and Equal

Opportunity

The co-applicants cannot have

unresolved, outstanding audit findings

or fair housing and equal opportunity

monitoring review findings or field

office (for HUD)/Regional office (for

HHS) management review findings

related to discriminatory practices. In

addition, the co-applicants must be in

compliance with civil rights laws and

equal opportunity requirements. Coapplicants will be considered to be in

compliance if:

(i) As a result of a formal

administrative proceeding, there are no

outstanding findings of non-compliance

with civil rights laws or the coapplicants are operating in compliance

with a Federally-approved compliance

agreement designed to correct the

area(s) of non-compliance.

(ii) There is no adjudication of a civil

rights violation in a civil action brought

against them by a private individual, or

the co-applicants demonstrate that they

are operating in compliance with a court

order, or implementing a HUD-approved

selection and assignment plan or

compliance agreement, designed to

correct the area(s) of non-compliance.

(iii) There is no deferral of Federal

funding based on civil rights violations.

(iv) HUD has no deferred application

processing by HUD under Title VI of the

Civil Rights Act of 1964 942 U.S.C.

2000d–1) (Title VI), the Attorney

General’s Guidelines (28 CFR 50.3) and

HUD’s Title VI regulations (24 CFR 1.8)

and procedures (HUD Handbook 8040.1)

or under Section 504 of the

Rehabilitation Act of 1973 (29 U.S.C.

794) (Section 504) and HUD’s

implementing regulations (24 CFR 8.57);

(v) There is no pending civil rights

suit brought against the co-applicants by

the Department of Justice; and

(vi) There is no unresolved finding of

discrimination against the co-applicants

issued under section 810 of the Fair

Housing Act (24 U.S.C. 3601–3619), as

implemented at 24 CFR 103.400.

(11) Automated Capability

The application must provide

certification that the program will

include access to on-line computer/

internet capability as a means of

communication with HUD on grant

matters.

(12) Compliance With Current Programs

The co-applicants must provide

certification that they are not in default

at the time of application submission

with respect to applicable grant

programs funded by HUD and HHS.

Such compliance may be waived if the

co-applicants provide sufficient

evidence that any aspects of noncompliance with prior grants were

beyond their control, such as a natural

disaster.

(b) Selection Criteria

Each application for a grant award

submitted in a timely manner, as

specified in this NOFA, that otherwise

meets the threshold and other

requirements of this NOFA will be

evaluated competitively using a point

scale. The number of points that an

application receives will depend on

how well it addresses the selection

factors described below. HUD and HHS

program components of the applications

will be scored on the following factors:

(1) FACTOR I: Quality of Planning for

Community-Building/Economic

Development (maximum points: 40)

(i) Needs Assessment Report

(maximum points: 5)

A description of the proposed target

neighborhood containing a sociodemographic profile of the residents, an

economic assessment of the area’s

business development and growth, and

a brief discussion of the current social

problems, available resources and

corresponding service needs of the

resident population. Up to five (5)

points will be awarded based on the

quality and comprehensiveness of the

needs assessment document and its

discussion of existing and potential

businesses and job opportunities in the

community. In order to obtain

maximum points, this document must

contain statistical data which provides:

(A) A socio-economic profile of the

eligible residents in relationship to

relevant jurisdictional and national data

on the following: AFDC/TANF, SSI, and

other fixed income arrangements; in job

training or entrepreneurship and

community services programs; in

resident owned businesses; and those

employed. Specific information should

be provided on training, contracting and

employment through the HA.

(B) An assessment of the current

economic situation in the target area

and within the surrounding community,

including current economic and job

development strategies, and their

current status and effectiveness.

(C) An assessment of the current

service delivery system as it relates to

the needs of the target population,

including the number and type of

services, the location of services, and

community facilities currently in use.

(D) A timetable of the proposed plan

to address the needs identified in the

assessment report. The timetable should

cover the three-year period of the grant

term and include the planning and

implementation phases of the support

services to be provided to the target

population and how such services and

objectives can be met in the limited time

frame.

(ii) Grant Plan Implementation

Strategies (maximum points: 35)

A description of the co-applicants’

proposed plan to address the goals of

the initiative within the target

neighborhood within the grant period.

The score on this factor will be based on

the viability and comprehensiveness of

the strategies proposed to meet the

unmet need in the following areas:

economic development/job creation,

including a business plan, as well as

welfare-to-work and other necessary

supportive services and strategies.
40650 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices

1Unlike the FSS program, HUD will not subsidize

the rent escrows so that the PHA or some other

source would need to fund the escrow amounts.

(A) Economic Development/Job

Development Strategies (maximum

points: 10)

The score in this factor will be based

on the extent and comprehensiveness of

economic development/job

development strategies to be provided.

A high score will be received if there is

a comprehensive description of the

economic and job development

strategies with accompanying business

plan(s) that explains how the coapplicants’ plan provides the additional

economic opportunities and creates new

jobs for targeted residents affected by

welfare reform in the three-year time

frame of the grant program. Briefly, the

plan should describe the key work tasks

and show how the project objectives

will be accomplished including the

development of business and creation of

jobs for welfare recipients (AFDC/

TANF) during the allowable OCS

project period. It is anticipated that coapplicants responding to this

announcement will be using existing

economic development/business plans

initiated under other public or private

developmental efforts (e.g., EZ/EC

strategies) rather than attempting to

develop a completely new strategy. As

a result, the Business Plan Guideline in

Appendix D is provided to assist the coapplicants in assessing the

completeness of the existing plans

rather than the development of new

ventures in response to this initiative.

(B) Supportive Services Strategies

(maximum points: 6)

The score in this factor will be based

on the comprehensiveness of services

that will be provided. A high score is

received if there is a comprehensive

description of how the co-applicants’

plan provides the core services that

specifically address the unmet resident

needs to successfully transition from

welfare to work AFDC/TANF recipients.

In addition, the plan’s description

should discuss how the planned

supportive services relate to the existing

economic and business resources of the

community, as identified in the needs

assessment report. To receive a high

score, co-applicants should include case

management/counseling, job training/

development/placement (and/or

business training/development/startup), child care and transportation. To

obtain maximum points the services

must be located in the community

facility(ies) (services may be provided at

more than one community facility) and

be available on a 12-hour-day basis or as

needed by the eligible residents.

(C) Resident Contracting and

Employment Strategies (maximum

points: 5)

The score in this factor will be based

on the extent to which residents will

achieve self-sufficiency through the HA

co-applicant contracting with residentowned businesses and through resident

employment. A high score will be

awarded where there is documentation

(letter or resolution) describing the HA’s

commitment to hire or contract with a

substantial number of residents and a

narrative describing the number of jobs

or contracts, as well as the training

processes related to the grant

implementation plan.

(D) Work Incentive Strategies

including Rent Reform and Occupancy

Incentives (maximum points: 4)

The score in this area will be based

on the degree to which the co-applicants

have implemented or propose to

implement or collaborate with the State

AFDC/TANF agency to implement work

incentive initiatives designed to

promote resident self-sufficiency. These

work incentives could include, but are

not limited to, rent strategies such as

income disregards, ceiling rents, rent

escrows 1, occupancy preferences for coapplicants who work or are in a selfsufficiency program and stipends. A

high score is received if the coapplicants can show how various

incentives, including but not limited to

rent escrows and/or occupancy

preferences for co-applicants who work

or who are in a self-sufficiency program,

complement other aspects of the

program implementation plan.

(E) Budget Appropriateness and

Reasonableness (maximum points: 5)

Funds requested are commensurate

with the level of effort necessary to

accomplish the goals and objectives of

the project. The application must

include a detailed budget breakdown for

each of the budget categories prescribed

in the standardized application forms.

The co-applicants must present

reasonable administrative costs for each

component within a 15% cap as a

guideline. The estimated cost to the

government of the project must also be

reasonable in relation to the anticipated

results.

(F) Reasonableness of the Timetable

(maximum points: 5)

The score in this factor will be based

on the speed at which the co-applicants

can realistically accomplish the goals of

the proposed program. To receive a high

score the co-applicant must demonstrate

that it will make substantial progress

within the first six months after grant

execution, including putting staff in

place, finalizing partnership

agreements, completing the

development of requests for proposals

and achieving other milestones that are

prerequisites for implementation of the

program. In addition, the co-applicants

must demonstrate that the proposed

timetable for all components of the

proposed program is reasonable

considering the size of the grant and its

activities and that it can accomplish its

objectives within the 36 months of the

grant term.

(2) Factor II: Co-Applicant’s

Organizational Structure for

Administering Grant Activities

(maximum points: 35)

In assessing this factor, the following

will be considered:

(i) Proposed Program Staffing

(maximum points: 5)

The score in this factor will be based

on the extent to which the coapplicants’ proposed staffing in support

of the program is suited to

accomplishing the program’s objectives

in terms of the appropriateness of staff/

consultant skills, assignments, and level

of responsibility. In order to receive a

high score, the co-applicants must

provide a comprehensive description of

who will provide the services and how

the services identified will be delivered.

This should include an organizational

chart, proposed staff/other resources/

consultants proposed, and a discussion

of coordination among various services

providers.

(ii) Program Administration

(maximum points: 10)

The score in this factor will be based

on the soundness of the proposed

management of the program. In order to

receive a high score, the application

must contain a comprehensive

description of the project management

structure, including the use of a grant

manager. The narrative must provide a

description of how any other coapplicants, subgrantees and other

partner agencies relate to the program

administrator as well as the lines of

authority and accountability among all

components of the proposed program.

(iii) Fiscal Management (maximum

points: 5)

The score in this factor will be based

on the soundness of the co-applicants’

proposed fiscal management. In order to

receive a high score the co-applicants

must provide a comprehensive

description of the fiscal management

structure, including but not limited to

budgeting, fiscal controls and

accounting as well as procedures for

tracking the contributions from the

participating state and local public and

private partners. The application must

explain the staff responsible for fiscal
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40651

management, and the processes and

timetable for implementation during the

proposed grant period.

(iv) Program Evaluation (maximum

points: 5)

The score in this factor will be based

on the quality of the co applicants’ plan

to assess the progress and success of the

proposed program from the inception of

the program, during program

implementation, as well as at the end of

the grant. In order to receive a high

score, the application must contain a

comprehensive description of the

program evaluation system, including

staff designated for the program quality

controls, performance measures, use of

automated systems for collecting the

program data, and timetable for

undertaking this activity. The

performance measures must be related

to the specific goals and objectives of

the proposed program and could

include but not be limited to the

following: the number of residents

starting jobs or entrepreneurship

training programs, the number of

residents successfully completing job

training, or starting businesses, the

number of residents receiving

supportive services (specified by type of

service), the number of community

facilities used for welfare to work and

other self-sufficiency/independence

efforts, and the number of community

partnerships executed in support of selfsufficiency for residents.

(v) Track Record (maximum points:

10)

The score in this factor will be based

on each of the co-applicants’ prior

performance in successfully carrying

out grant programs to assist residents in

increasing their self-sufficiency and in

building a community economic base.

Co-applicants with no prior experience

in operating programs that foster selfsufficiency and economic development

will receive a score of 0 on this factor.

(A) For the HA co-applicant (up to 5

points), prior performance will include

but not be limited to the following grant

programs for the HA co-applicant: the

Family Investment Center Program

(FIC), the Youth Development Initiative

under FIC, the Youth Apprenticeship

Program, the Apprenticeship

Demonstration Program in the

Construction Trades Program, the Urban

Youth Corps Program, the HOPE I

Program, the Public Housing Services

Coordinator Program, the Public

Housing Drug Elimination program, the

Youth Sports Program. Performance on

the Family Self-Sufficiency Program

will be rated as well, whether or not the

PHA has received a grant for service

coordination.

(B) For the CDC co-applicant (up to 5

points), prior performance will include

but not be limited to projects previously

undertaken that have provided

permanent benefits to the low income

population; whether the co-applicant

has demonstrated the ability to

implement major activities in such areas

as business development, commercial

development, physical development, or

financial services, and the ability to

mobilize dollars from sources such as

the private sector (corporations, banks,

etc.), foundations, the public sector,

including State and local government,

or individuals. The applicable grant

programs include the Discretionary and

Job Opportunities for Low Income

Individuals (Joli) Grants. In order to

receive a high score, the co-applicant

must demonstrate compliance and

successful implementation of any

applicable grant programs (including

those listed above).

(3) Factor III: Partnerships (maximum

points: 25)

(i) Overall Partnerships (maximum

points: 20)

The score in this factor will be based

on the successful integration of partners

into implementation of the proposed

joint initiative. In order to receive a high

score, the co-applicants must provide

signed Memoranda of Agreement

(MOA)—or equivalent signed

documentation provided that it

delineates the responsibilities of each of

the parties and the benefits they will

receive—that delineate specific

partnerships related to the components

in the grant implementation plan. In

assessing this factor, a number of

aspects of the proposed partnership will

be examined including:

(A) The appropriateness of the level of

expertise of the partners related to

activities proposed in the application;

(B) The soundness of the division of

responsibilities/management structure

of the proposed partnership relative to

the expertise and resources of the

partners;

(C) The extent of the commitment of

the partners (such as, time, resources,

and funds); and

(D) The extent to which the partners,

and the partnership as a whole,

addresses a broader level of unmet

resident needs; and the extent to which

the addition of the partners provides the

ability to meet needs of the coapplicants that could not otherwise be

met without the partners.

(ii) EZ/EC Partnership (maximum

points: 5)

The co-applicants will receive up to 5

points based on the criteria specified

under Factor III(i), above, if they show

a partnership with an EZ/EC

organization.

(c) Selection Processing

(1) Corrections to Deficient Applications

After the submission deadline date,

each application will be screened to

determine whether it is complete,

consistent, and contains correct

computations.

(i) Co-applicants will be notified, in

writing, of any curable technical

deficiencies in the application that must

be completed before the grant is

awarded.

(ii) Curable technical deficiencies

relate to items that:

(A) Are not necessary for review

under threshold/selection criteria/

ranking factors; and

(B) Would not improve the quality of

the co-applicant’s program proposal.

(C) An example of a curable technical

deficiency would be the failure of a coapplicant to submit a required

assurance, certification, co-applicant

data form, summaries of written

resident comments, incomplete forms or

lack of required signatures, appendices

and documentation referenced in the

application or a computational error

based on the use of an incorrect

number(s) such as incorrect unit counts.

(iv) An example of a non-curable

defect or deficiency would be a missing

SF–424A (Budget Information).

(2) Scoring

Each application that meets the

requirements of this NOFA will be

evaluated jointly by the sponsoring

Federal agencies using a review process.

Points will be awarded on the basis of

the quality and responsiveness of the

application in addressing the selection

criteria for the program. Components

will each be evaluated according to the

selection criteria in Part III, Section (b).

The two scores will be averaged and

ranked on a national basis. Awards shall

be made in ranked order, until all funds

are expended. HUD/HHS will select the

highest ranking applications that can be

fully funded. However, in the event

Departments determine that the

available funds exceed quality projects,

the Departments will not fund projects

that are poor in quality.

(3) Post Selection Administration

(i) All awards will be made to fund

fully an application, except as follows:

The co-sponsors may approve an

application for an amount lower than

the amount requested, withhold funds

after approval, adjust line items in the

proposed grant budget within the

amount requested and/or the grantee
40652 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices

will be required to comply with special

conditions added to the grant

agreement, in accordance with 24 CFR

85.12 (HAs), as applicable, and the

requirements of this NOFA, or where:

(A) HUD/HHS determine that the

amount requested for one or more

eligible activities is not supported in the

application, and/or is unreasonable or

unnecessary;

(B) The application does not

otherwise meet applicable cost

limitations established for the program;

(C) The co-applicants have requested

an ineligible activity; an activity

proposed for funding does not qualify as

an eligible activity and can be separated

from the budget;

(D) Insufficient amounts remain in

that funding round to fund the full

amount requested in the application and

HUD/HHS determines that partial

funding is a viable option; or

(E) For any other reason where good

cause exists.

(ii) Grantees are required to attend a

HUD/HHS sponsored training

specifically designated for grantees

under this program. The sponsoring

Departments intend to offer this training

session within four months of grant

award.

Part IV—General Grant Requirements

In addition to the requirements set

forth in this NOFA, grantees are

responsible for ensuring that grant funds

are administered in accordance with all

applicable laws and regulations, OMB

circulars, fiscal and audit controls, grant

agreements, grant special conditions,

the grantee’s approved budget (SF

424A), and supporting budget narrative,

plan and activity timetable. Applicable

Federal laws include but are not limited

to those related to fair housing and

equal opportunity and the following:

(a) Grant Administration

The policies, guidelines, and

requirements of the following apply to

this NOFA:

(1) For HAs and any governmental coapplicants/subgrantees/partners: 24 CFR

Part 85, OMB Circular A–87 and 24 CFR

Part 44;

(2) For CDCs or other private nonprofit grantees or co-applicants/subgrantees/partners: 45 CFR Part 74 and

OMB Circulars A–110 or A–133; and

(3) For-profit participants: 24 CFR

Part 84 and Federal Acquisition

Requirements (FAR).

(b) Cost Principles

The cost principles of OMB Circulars

A–87, A–21, A–110 or A–122, as

applicable to the specific entity

incurring the cost, apply to co-applicant

grantees and subgrantees funded under

this NOFA.

(c) Ineligible Contractors

The provisions of 24 CFR Part 24

(HA’s) and 45 CFR Part 76 (CDC’s)

relating to the employment, engagement

of services, awarding of contracts, or

funding of any contractors or

subcontractors during any period of

debarment, suspension, or placement in

ineligibility status apply to those coapplicant grantees and sub-grantees

funded under this NOFA.

(d) Freedom of Information Act

Applications submitted in response to

this NOFA are subject to disclosure

under the Freedom of Information Act

(FOIA), 5 U.S.C. 552.

(e) Grant Staff Personnel

For HUD grant purposes, all persons

or entities compensated by grants for

services provided under a grant must

meet all applicable personnel or

procurement requirements and shall be

required, as a condition of employment,

to meet relevant State, local

government, insurance, training,

licensing, civil rights, or other similar

standards and requirements.

(f) Grant Agreements

After an application has been

approved, each co-applicant shall enter

into a Grant Agreement setting forth the

amount of the grant and its applicable

terms, conditions, financial controls,

payment mechanism and special

conditions, including sanctions for

violation of the agreement. Except as

otherwise specified in the Grant

Agreement, the co-applicant’s entire

application, including but not limited to

the budget, timetable, and narrative will

be incorporated in the Grant Agreement.

(g) Duplication of Funds

Under OMB Cost Circulars (A–87, A–

21, A–110, and A–122), grantees may

not duplicate funding from (i.e., charge

the same costs to) this joint grant and

any other funding sources, although the

costs of budget line items may be shared

between the grant and other funding

sources in accordance with allocation

criteria in the applicable OMB Cost

Circular. Adequate financial controls

must be in place to assure compliance

with these requirements.

(h) Risk Management

Co-Grantees are required to

implement, administer and monitor

programs so as to minimize the risk of

fraud, waste, abuse, and liability for

losses from adversarial legal action. The

following requirements address these

concerns:

(1) Insurance/Indemnification

Each grantee shall obtain adequate

insurance coverage to protect itself

against any potential liability arising out

of the eligible activities under this part.

(2) Failure to Implement Program

If the grant plan, approved budget,

and timetable, as described in the

approved application, are not

operational within 90 days of the grant

agreement date, the grantee must report

by letter to the designated grant

monitors in HUD/HHS the steps being

taken to initiate the plan and timetable,

the reason for the delay, and the

expected starting date. Any timetable

revisions that resulted from the delay

must be included. The designated

monitors will determine if the delay is

acceptable, approve/disapprove the

revised plan and timetable, and take any

additional appropriate action.

(3) Default

HUD/HHS may impose sanctions,

subject to notice and the co-grantee

opportunity to respond/correct as

described in the grant agreement if the

co-grantees:

(i) Are not complying with the

requirements of this part or any other

Federal laws or requirements;

(ii) Fail to make satisfactory progress

toward their program goals, as specified

in their plan and reflected in

performance or financial status reports

or through other information available

to the co-sponsors;

(iii) Do not establish procedures that

will minimize the time lapsing between

drawdowns and disbursements of funds

(45 CFR 74.21(b)(5));

(iv) Do not adhere to grant agreement

requirements or special conditions;

(v) Propose substantial plan changes

to the extent that, if originally

submitted, the application would not be

selected for funding;

(vi) Engage in improper award or

administration of grant subcontracts;

(vii) Do not submit reports; or

(viii) File false certification.

(4) Sanctions

The sanctions that may be imposed

include but are not limited to:

(i) Temporarily withhold cash

payments pending correction of the

deficiency by the grantees or

subgrantee(s);

(ii) Disallow all or part of the cost of

the activity or action not in compliance;

(iii) Wholly or partly suspend or

terminate the current award for the cograntees’ program;
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40653

(iv) Require that some or all of the

grant amounts be remitted to HUD and/

or HHS;

(v) Condition a future grant(s) and/or

elect not to provide future grant funds

to the co-grantees until appropriate

actions are taken to ensure compliance;

(vi) Withhold future awards for the

program; or

(vii) Take any other remedies that

may be legally available.

(i) Treatment of Income

For policies pertaining to treatment of

income for public housing and Section

8 families, see 24 CFR, Part 5, Subpart

F.

(j) Reports and Closeout

(i) Semi-Annual Reports

Each grantee (HA/CDC) shall submit

to HUD/HHS, as applicable, a semiannual progress report and a Form 269

(CDC) in a format prescribed by HUD

and HHS that indicates program

expenditures and measures performance

in achieving program milestones and

goals. No grant payments will be

approved for grantees with overdue

progress reports.

(ii) Final Reports and Closeout

As part of a grant closeout process,

each joint grantee shall submit to HUD

and HHS a final report in a format

prescribed by the departments that

reports final program expenditures and

measures performance in achieving

program goals.

(iii) Audits and Closeouts

HUD/HHS will make maximum use of

audits required under 24 CFR part 44

and 45 (HUD); 45 CFR 74.26 and 74.71

(HHS), as applicable in conducting grant

close-outs. At grant close-out, HUD

grantees shall make the last audit

available to HUD with the final report.

For OCS grantees, a final audit report

covering the total grant period will be

due in compliance with the

requirements of OMB Circular No.

A–133.

Part V—Findings and Certifications

The following findings and

certifications apply to this Initiative:

(a) Paperwork Reduction Act

The information collection

requirements contained in this Notice

have been approved by the Office of

Management and Budget under the

Paperwork Reduction Act of 1995 (44

U.S.C. 3501–3520), and assigned OMB

control numbers 2577–0211 (the ED/SS

Program) and 0970–0062 (HHS/OCS

Program). An agency may not conduct

or sponsor, and a person is not required

to respond to, a collection of

information unless the collection

displays a valid control number.

(b) Environmental Impact

The HUD portions of this NOFA do

not direct, provide for assistance or loan

or mortgage insurance for, or otherwise

govern or regulate real property

acquisition, disposition, leasing,

rehabilitation, alteration, demolition, or

new construction, or establish, revise or

provide for standards for construction or

construction materials, manufactured

housing, or occupancy. Accordingly,

under HUD’s regulations in 24 CFR

50.19 (c) (l), the portion of this NOFA

pertaining to HUD assistance is

categorically excluded from

environmental review under the

National Environmental Policy Act of

1969, as amended (42 U.S.C. 4321).

(c) Federalism Executive Order

The General Counsel, as the

Designated Official under Section 6(a) of

Executive Order 12612, Federalism, has

determined that the policies contained

in this notice will not have substantial

direct effects on States or their political

subdivisions, or the relationship

between the Federal government and

the States, or on the distribution of

power and responsibilities among the

various levels of government. As a

result, the notice is not subject to review

under the Order. This notice announces

the availability of funds to HAs and

CDCs to provide economic development

opportunities and supportive services to

assist residents of public housing and

other low-income families in the

surrounding neighborhood to become

economically self-sufficient, and, thus

could benefit families significantly.

(d) Prohibition of Advance Disclosure of

Funding Decisions

HUD’s regulation implementing

Section 103 of the Department of

Housing and Urban Development

Reform Act of 1989, codified as 24 CFR

part 4, subpart B, applies to the funding

competition announced today. The

requirements of the rule continue to

apply until the announcement of the

selection of successful co-applicants.

All persons including HUD and other

Federal employees involved in the

review of applications and in the

making of funding decisions are

prohibited by part 4 from providing

advance information to any person

(other than an authorized employee of

HUD) concerning funding decisions, or

from otherwise giving any co-applicant

an unfair competitive advantage.

Persons who apply for assistance in this

competition should confine their

inquiries to the subject areas permitted

under 24 CFR part 4. Co-applicants or

Federal employees who have ethics

related questions should contact the

HUD Ethics Law Division (202) 708–

3815. (This is not a toll-free number.)

(e) Section 102 HUD Reform Act—

Documentation and Public Access

Requirements

Section 102 of the Department of

Housing and Urban Development

Reform Act of 1989 (HUD Reform Act)

and the final rule codified at 24 CFR

part 4, subpart B, contain a number of

provisions that are designed to ensure

greater accountability and integrity in

the provision of certain type of

assistance administered by HUD. On

January 14, 1992 (57 FR 1942), HUD

published a notice that also provides

information on the implementation of

Section 102. The documentation, public

access, and disclosure requirements of

section 102 are applicable to assistance

awarded under this NOFA as follows:

(i) Documentation and public access

requirements

HUD/HHS will ensure that

documentation and other information

regarding each application submitted

pursuant to this NOFA are sufficient to

indicate the basis upon which

assistance was provided or denied. This

material, including any letters of

support, will be made available for

public inspection for a 5-year period

beginning not less than 30 days after the

award of the assistance. Material will be

made available not less than 30 days

after the award of the assistance.

Materials will be made available in

accordance with the Freedom of

Information Act (5 U.S.C. 552) and

HUD’s implementing regulations at 24

CFR part 15. In addition, HUD/HHS will

include the recipients of assistance

pursuant to this NOFA in its Federal

Register notice of all recipients of

assistance awarded on a competitive

basis.

(ii) Disclosures

HUD will make available to the public

for five years all co-applicant disclosure

reports (HUD Form 2880) submitted in

connection with this NOFA. Updated

reports (also Form 2880) will be made

available along with the co-applicant

disclosure reports, but in no case for a

period less than three years. All

reports—both co-applicant disclosure

and updates—will be made available in

accordance with the Freedom of

Information Act (5 U.S.C. 552) and

HUD’s implementing regulations at 24

CFR part 15.
40654 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices

(f) Prohibition Against Lobbying

Activities

Co-applicants for funding under this

NOFA are subject to the provisions of

Section 319 of the Department of

Interior and Related Agencies

Appropriation Act for Fiscal Year 1991,

31 U.S.C. Section 1352 (the Byrd

Amendment) and to the provisions of

the Lobbying Disclosure Act of 1995,

P.L. 104–65 (December 19, 1995). The

Byrd Amendment, which is

implemented in regulations at 24 CFR

part 87, prohibits applicants for Federal

contracts and grants from using

appropriated funds to attempt to

influence Federal Executive or

legislative officers or employees in

connection with obtaining such

assistance, or with its extension,

continuation, renewal, amendment or

modification. The Byrd Amendment

applies to the funds that are the subject

of this NOFA. Therefore, co-applicants

must file a certification stating that they

have not made and will not make any

prohibited payments and, if any

payments or agreement to make

payments of nonappropriated funds for

these purposes have been made, a form

SF–LLL disclosing such payments must

be submitted. The certification and the

SF–LLL are included in the application

package. The Lobbying Disclosure Act

of 1995, P.L. 104–65 (December 19,

1995), which repealed Section 112 of

the HUD Reform Act and resulted in the

elimination of the regulations at 24 CFR

Part 86, requires all persons and entities

who lobby covered Executive or

Legislative Branch officials to register

with the Secretary of the Senate and the

Clerk of the House of Representatives

and file reports concerning their

lobbying activities.

Co-applicants must provide a

certification concerning Lobbying. Prior

to receiving an award in excess of

$100,000, co-applicants shall furnish an

executed copy of the lobbying

certification. Co-applicants must sign

and return the certification with their

applications.

Co-applicants must fill out, sign and

date form SF–LLL, Disclosure of

Lobbying Activities, if applicable.

(g) Intergovernmental Review

The HHS programs are covered under

Executive Order 12372,

‘‘Intergovernmental Review of Federal

Programs.’’ Under the Order, States may

design their own processes for

reviewing and commenting on proposed

Federal assistance under covered

programs. The HHS program is also

subject to 45 CFR Part 100,

‘‘Intergovernmental Review of

Department of Health and Human

Services Programs and Activities.’’

All States and Territories except

Alabama, Alaska, American Samoa,

Colorado, Connecticut, Hawaii, Idaho,

Kansas, Louisiana, Massachusetts,

Minnesota, Montana, Nebraska, New

Jersey, Oklahoma, Oregon, Palau,

Pennsylvania, South Dakota, Tennessee,

Vermont, Virginia and Washington have

elected to participate in the Executive

Order process and have established

Single Points of Contact (SPOCs). Coapplicants from these twenty-three

jurisdictions need take no action

regarding E.O. 12372. Co-applicants

should contact their SPOCS as soon as

possible to alert them of the prospective

applications and receive any necessary

instructions. Co-applicants must submit

any required material to the SPOCs as

soon as possible so that the program

office can obtain and review SPOC

comments as part of the award process.

It is imperative that the co-applicant

submit all required materials, if any, to

the SPOC and indicate the date of this

submittal (or the date of contact if no

submittal is required) on the Standard

Form 424, item 16a.

Under 45 CFR 100.8(a)(2), a SPOC has

60 days from the application deadline

date to comment on proposed new or

competing continuation awards.

SPOCs are encouraged to eliminate

the submission of routine endorsements

as official recommendations.

Additionally, SPOCs are requested to

clearly differentiate between mere

advisory comments and those official

State process recommendations which

they intend to trigger the ‘‘accommodate

or explain’’ rule.

When comments are submitted

directly to ACF, they should be

addressed to: Department of Health and

Human Services, Administration for

Children and Families, Division of

Discretionary Grants, 370 L’Enfant

Promenade, SW., Mail Stop 6C–462,

Washington, DC 20447.

(h) Standard Form 424

The application must contain a

Standard Form 424 ‘‘Application for

Federal Assistance’’ (SF–424) for each

co-applicant. The SF 424 must be signed

by an official of the CDC and HA

applying for the grant who has authority

to obligate the organization legally.

(i) Standard Form 424A

The application must contain

Standard Form 424A ‘‘Budget

Information—Non Construction

Programs’’ (SF 424A) for each coapplicant.

(j) SF–424B ‘‘Assurances-NonConstruction’’

All co-applicants, whether or not the

project involves construction, must file

the Standard Form 424B, ‘‘Assurances:

Non-Construction Programs.’’ Coapplicants must sign and return the

Standard Form 424B. The SF 424B must

be signed by an official of the CDC and

HA applying for the grant who has

authority to obligate the organization

legally.

(k) Certification Regarding Debarment,

Suspension, and Other Responsibility

Matters—Primary Covered Transactions

Co-applicants must make the

appropriate certification. By signing and

submitting the applications, coapplicants are providing the

certification regarding Debarment,

Suspension, and Other Responsibility

Matters—Primary Covered Transactions

and need not mail back the certification

with their application.

(l) Certification Regarding

Environmental Tobacco Smoke

CDC Co-applicants must make the

appropriate certification of their

compliance with the Pro-Children Act

of 1994. By signing and submitting the

applications, co-applicants are

providing the certification regarding

environmental tobacco smoke and need

not mail back the certification with their

applications.

(m) Certification Regarding Drug-Free

Workplace Requirements

OCS applicants must fill out and

return this form.

(n) Catalog of Federal Domestic

Assistance Numbers

The Catalog of Federal Domestic

Assistance Number for the HUD

Economic Development and Supportive

Services Program is 14.853; and for the

HHS Community Services is 93.570.

Dated: July 23, 1997.

Kevin Emanuel Marchman,

Acting Assistant Secretary for Public and

Indian Housing, Department of Housing and

Urban Development.

Donald Sykes,

Director, Office of Community Services,

Department of Health and Human Services.

Appendix A

Application Checklist

Threshold Requirements

The application MUST address the

following requirements in order for it to be

accepted for further consideration.
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40655

Application page

number(s)

1. Joint Application (HA–CDC

MOA) ...................................... lllll

2. Needs Assessment ................. lllll

3. Grant Implementation Plan ... lllll

Business Plan ......................... lllll

4. Partnerships ........................... lllll

Business/Industry .................. lllll

Residents ................................ lllll

Welfare and Child Care Plans lllll

Boys & Girls Club (optional) lllll

Other (optional) ...................... lllll

5. Evidence that 100% of Target

Participants are Affected by

Welfare Reform ...................... lllll

6. Accessible Community Facility (including Use Agreement) ....................................... lllll

7. Leveraging of Other Resources .................................... lllll

8. Compliance with Current

Programs ................................. lllll

9. Evidence of Automated Capability .................................... lllll

10. Audit Findings and Equal

Employment Opportunity

Certifications .......................... lllll

11. PHMAP Score Requirements (HA only) ..................... lllll

Selection Factors

HA and CDC components will each be

rated and scored on the following factors.

Application page

number(s)

1. Quality of Planning for Community Building/Economic

Development:

A. Economic/Job Development .................................... lllll

B. Supportive Services .......... lllll

C. Resident Contracting/Employment ............................. lllll

D. Work Incentives ................ lllll

E. Budget Appropriateness/

Reasonableness ................... lllll

F. Reasonableness of Timetable ..................................... lllll

2. Co-Applicant Capability/Organizational Structure for

Grant Administration:

A. Staffing ............................... lllll

B. Program Administration .... lllll

C. Fiscal Management ............ lllll

D. Program Evaluation ........... lllll

E. Track Record ...................... lllll

3. Resident and Other Partnerships:

A. Overall Partnerships ......... lllll

B. EZ/EC Partnerships ........... lllll

Required certifications and assurances

HA CDC

1. Application Form

(SF 424 and 424A) lll lll

Required certifications and assurances

HA CDC

2. Proof of CDC’s

non-profit status

evidenced by a

copy of the

CDC’s listing in

the Internal Revenue Services

(IRS) most recent

list of tax-exempt organizations described

in section

501(c)(3) of the

IRS Code, or by

a copy of a currently valid IRS

tax-exemption

certificate, or by

a copy of the Articles of Incorporation bearing

the Seal of the

State in which

the corporation

or association is

domiciled; And

proof of CDC status evidenced by

providing the

purposes section

of the Articles of

Incorporation

and a list of the

current Board of

Directors’ names,

titles and addresses, copies

of resumes of the

project director

and other key

management

team members,

written agreements, coordination with AFDC/

TANF, etc. and

Single Point of

Contact comments (where

applicable). ........ llll llll

3. Assurances for

Non-Construction

Programs (424B) ... llll llll

4. a. Certification

for a Drug-Free

Workplace

(HUD–2880) ....... llll llll

b. Lobbying Disclosure Update Report (HUD–2880) llll llll

c. Disclosure of

Lobbying Activities (SF–LLL) ..... llll llll

d. Certification Regarding DrugFree Workplace

Requirements .... llll llll

Required certifications and assurances

HA CDC

e. Certification Regarding Lobbying, Debarment,

Suspension, etc.,

and Drug-Free

Workplace Requirements ......... llll llll

Appendix B

Program Elements for the Joint HHS/HUD

Initiative

Community Partnerships for Economic Uplift

and Economic Development

A. Program Elements

Following is a description of key program

elements in this joint initiative.

1. Comprehensive Service Center

The comprehensive human service center

is the focal point of this initiative. It is a

neighborhood-based facility located within or

adjacent to a public housing facility. It

contains an array of redeployed public and

private resources to support the housing

residents, AFDC/TANF recipients and other

low-income individuals in the area. It

provides social, health, education,

vocational, employment readiness, child

care, transportation and other appropriate

services and resources important to assisting

residents and others achieve self sufficiency.

2. Job Creation/Employment Readiness

In order to induce a business/industry to

locate in the public housing community

setting it is essential that the target

population, that will constitute the labor

pool, be prepared to compete for and

effectively function in the available positions

offered by the host businesses/industries.

Important to the adequate preparation of the

resident population is a clear understanding

of the businesses’/industries’ labor capability

requirements. These should be articulated in

an education and performance standards

document that stipulates what preparatory

training the industry requires for an eligible

employment pool. The public agency would

be responsible for providing the necessary

training and certifying the readiness of the

candidates for employment.

There is a critical need for a highly focused

and intensive remedial and vocational

education and employment readiness

capacity to meet the demands for qualified

labor by the specific industry. This often

requires upgrading existing remedial and

vocational education training to more

effectively address the education and

performance standards. In addition, it

requires coordination with a variety of

support services.

3. Incentive Package

In order to attract appropriate businesses

and industries the cities will have to provide

an incentive package. The incentive package

could include:

• Cost or rent free land/buildings to locate

operations;
40656 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices

• Local and state tax abatement packages

related to land, equipment, products,

utilities, etc.;

• Assistance in developing and/or

renovating the physical facilities and the

affected transportation arteries and systems;

• Assistance in obtaining low interest

loans to purchase equipment and inventory;

• Increased law enforcement to ensure the

safety of the employees and the property;

• Preparation and support of the resident

work-force through a comprehensive

education/service center on or adjacent to the

work site;

• Provision of public/private salary

support packages involving the use of TANF/

child care and other program resources as

well as Labor’s employment and training

funds.

4. Entrepreneurial Development

The comprehensive service delivery

centers should provide directly or through

linkage to the Small Business

Administration’s Small Business

Development Centers assistance to residents

and local organizations interested in

entrepreneurial efforts, such as, establishing

small businesses in the area. The assistance

could focus on financing, marketing ,

production, organization, engineering and

technical problems and feasibility studies as

well as venture capital formation. The

business development could be designed to

support a broad variety of individual and

corporate needs such as child care,

transportation, grocery stores, grounds and

equipment maintenance, restaurants,

cleaners and other related services.

5. Leveraging Resources

The participating communities would be

expected to dedicate a variety of public and

private human, financial and material

resources to implement the comprehensive

service centers and the economic

development and revitalization efforts.

In order to effectively package the

economic development plan it will be

essential that the community leverage

considerable public and private financial

resources and taxes and other incentives to

induce significant private investment. This

will require close coordination with existing

economic development strategies and tactical

efforts with the city and county governments

as part of an Empowerment Zone and

Enterprise Community effort or similar

venture.

Appendix C

Developing a Child Care System

Child Care is an essential component of

economic and community development.

Parents cannot seek and maintain

employment or training unless they have

adequate child care arrangements for their

children. In order to meet the needs of

housing residents, the Child Care Bureau is

urging housing authorities to create systems

of quality child care that are readily

accessible and affordable. Below are some

key elements to creating child care systems.

A. Needs Assessment

In order to determine the appropriate level

of need in the community, co-applicants

should conduct a needs assessment of child

care demand and supply. Such an assessment

should be conducted in consultation with an

expert on low-income child care needs such

as a local Child Care Resource and Referral

Agency, or a non-profit organization. The

assessment would evaluate the services

currently available in close proximity to the

housing site, child care information

resources, the training opportunities for

residents entering or currently employed in

child care, and the corresponding demand.

Assessments of demand and supply should

include breakdowns by age, type of care, and

hours of care.

B. Plan

A plan should then be developed to

address the findings of the needs assessment.

This plan should include what type of

services or job opportunities co-applicants

will provide or help coordinate, to meet

need. The plan should outline ways to

provide child care consumer education,

linkages with other services, training

opportunities and provider support, jobs and

direct services in either centers or family day

care homes. All planned services must meet

State, county, and city regulatory

requirements to ensure that children are in

safe and healthy child care environments. It

is suggested that co-applicants also consult

an expert to develop a plan, for instance

before completing a use agreement; there is

a need to assure the dedicated space will

comply with child care licensure and other

needs.

C. Coordination

Coordination with the State Child Care

Administrator is necessary to be able to

secure funding for services, ensure the

satisfaction of health and safety standards,

and to be eligible for technical assistance.

The co-applicant should obtain commitment

from the State Child Care Administrator, and

work closely with state and local agencies to

conduct the needs assessment and develop

the plan.

Appendix D

Guidelines of a Business Plan

The business plan is an essential

component to determine the feasibility of the

economic development/job development

ventures being proposed under this joint

initiative and will be rated and ranked under

that component of the grant implementation

plan. As noted previously in this

announcement, it is assumed that the

business plan or plans that will be included

in response to this solicitation will have been

developed previously as part of other public

or private development ventures. The

specific business plan must address all the

relevant elements as follows:

(a) The Business and Its Industry: This

section should describe the nature and

history of the business and provide some

background on its industry.

(b) Products and Services: This section

deals with the following:

(i) Description: Describe in detail the

products or services to be sold;

(ii) Proprietary Position: Describe

proprietary features if any of the product,

e.g., patents, trade secrets; and

(iii) Potential: Features of the product or

service that may give it an advantage over the

competition.

(c) Market Research and Evaluation: This

section should present sufficient information

to show that the product or service has a

substantial market and can achieve sales in

the face of competition.

(d) Marketing Plan: The marketing plan

should detail the product, pricing,

distribution, and promotion strategies that

will be used to achieve the estimated market

share and sales projections. The marketing

plan must describe what is to be done, how

it will be done and who will do it. The plan

should address the following topics—Overall

Marketing Strategy, Packaging, Service and

Warranty, Pricing, Distribution and

Promotion.

(e) Design and Development Plans: If the

product, process or service of the proposed

venture requires any design and development

before it is ready to be placed on the market,

the nature and extent and cost of this work

should be fully discussed. The section

should cover items such as Development

Status and Tasks, Difficulties and Risks,

Product Improvement and New Products,

and Costs.

(f) Manufacturing and Operations Plan: A

manufacturing and operations plan should

describe the kind of facilities, plan location,

space, capital equipment and labor force

(part and/or full time and wage structure)

that are required to provide the company’s

product or service.

(g) Management Team: The management

team is the key in starting and operating a

successful business. The management team

should be committed with a proper balance

of technical, managerial and business skills,

and experience in doing what is proposed.

This section must include a description of:

the key management personnel and their

primary duties; compensation and/or

ownership; the organizational structure;

Board of Directors; management assistance

and training needs; and supporting

professional services.

(h) Overall Schedule: A schedule that

shows the timing and inter-relationships of

the major events necessary to launch the

venture and realize its objectives. Prepare, as

part of this section, a month-by-month

schedule that shows the timing of such

activities as product development, market

planning, sales programs, and production

and operations. Sufficient detail should be

included to show the timing of the primary

tasks required to accomplish each activity.

(i) Critical Risks and Assumptions: The

development of a business has risks and

problems and the Business Plan should

contain some explicit assumptions about

them. Accordingly, identify and discuss the

critical assumptions in the Business Plan and

the major problems that will have to be

solved to develop the venture. This should

include a description of the risks and the

critical assumptions relating to the industry,

the venture, its personnel, the product’s

market appeal, and the timing and financing

of the venture.

(j) Community Benefits: The proposed

project must contribute to economic, human

and community development within the
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40657

project’s target area. A section that describes

and discusses the potential economic and

non-economic benefits to low-income

members of the community must be included

as well as a description of the strategy that

will be used to identify and hire individuals

being served by public assistance programs

and how linkages with community agencies/

organizations administering the AFDC/TANF

program will be developed.

(k) The Financial Plan: The Financial Plan

is basic to the development of a Business

Plan. Its purpose is to indicate the project’s

potential and the timetable for financial selfsufficiency. In developing the Financial Plan,

the following exhibits must be prepared for

the first three years of the business’

operation:

(i) Profit and Loss Forecasts—quarterly for

each year;

(ii) Cash Flow Projections—quarterly for

each year;

(iii) Pro Forma Balance Sheets—quarterly

for each year.

Also, additional financial information for

the business operation that must be included

is an initial Source and Use of Funds

Statement for project funds and a brief

summary paragraph discussing any further

capital requirements and their sources.

Applications which propose to use the

requested HHS/OCS funds to make an equity

investment or a loan to a business concern,

including a wholly-owned subsidiary, or to

make a sub-grant with a portion of the HHS/

OCS funds, must include a written agreement

between the community development

corporation and the recipient of the grant

funds.

BILLING CODE 4210–33–P
40658 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40659
40660 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40661
40662 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40663
40664 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40665
40666 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40667
40668 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40669
40670 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40671
40672 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40673
40674 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40675
40676 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40677
40678 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40679
40680 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40681
40682 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40683
40684 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40685
40686 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40687
40688 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40689
40690 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40691
40692 Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices
Federal Register / Vol. 62, No. 145 / Tuesday, July 29, 1997 / Notices 40693

[FR Doc. 97–19917 Filed 7–24–97; 1:06 pm]

BILLING CODE 4210–33–C