National Institute of Standards and Technology | U.S. Department of Commerce 1

CHIPS for America

How to Apply for the Small Supplier NOFO

Semiconductor materials and manufacturing equipment facilities

November 17, 2023
National Institute of Standards and Technology | U.S. Department of Commerce 2

WELCOME

• We look forward to your questions. Click the Q&A button, type 

your question, and click “Post Question” to submit.

• We will answer as many questions as possible today.

• Visit CHIPS.gov

• Get the Notice of Funding Opportunity

• Access additional resources for applicants and stakeholders

• Sign up for email updates

• Register for future webinars
National Institute of Standards and Technology | U.S. Department of Commerce 3

Today’s CHIPS Program Office Speakers

Olivia Briffault

Investment Principal

Harry Finegold

Investment Principal

Rachel Lipson

Senior Advisor for Policy

Adam Schafer

Head of Supply Chain 

Strategy
National Institute of Standards and Technology | U.S. Department of Commerce 4

Agenda & Objectives

Agenda

• CHIPS for America Vision (5 mins)

• Application Process (10 mins)

• How to Complete a Concept Plan (15 mins)

• What Makes a Good Concept Plan (15 mins)

• Overview of Successful Clusters and Consortia 

(10 mins)

• Next Steps and Additional Resources (5 mins)

By the end, attendees should 

better understand

• Vision for Success for the 

Supply Chain NOFO

• What successful consortia 

could look like

• What we're looking for in a 

successful Concept Plan 

Application

• How to submit a Concept Plan 

Application
National Institute of Standards and Technology | U.S. Department of Commerce 5

Facilities for Semiconductor Materials and 

Manufacturing Equipment

The CHIPS Incentives Program – Facilities for Semiconductor

Materials and Manufacturing Equipment NOFO is the official funding

announcement document. Nothing in this presentation or the

accompanying materials is intended to contradict or supersede information

in the NOFO. The NOFO controls in the event of any conflicts.
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CHIPS for America Vision

Economic 

Security

The CHIPS Act will 

strengthen supply chain 

security and increase 

economic resilience in

critical sectors

National 

Security

The CHIPS Act will ensure 

that the U.S. can manufacture

advanced technologies,

including secure chips for the

U.S. military

Future 

Innovation

The CHIPS Act will spur 

innovation, increase 

competitiveness, and 

ensure long-term U.S. 

leadership in the sector
National Institute of Standards and Technology | U.S. Department of Commerce 7

Vision for Success – Supply Chain for Success

By the 

end of the 

decade...

Strengthen Supply Chain Resilience

 The U.S. and its allies will reduce chokepoint 

risks flowing from geographic concentration

 Supply chain participants will improve the 

transparency of demand and supply to reduce 

the risks of production disruptions

 The U.S. will have incentivized major U.S. 

equipment and materials suppliers to increase 

their footprints in the U.S.

 Non-U.S. suppliers of the world's most advanced 

equipment, materials, and subsystems will also 

establish large-scale footprints in the U.S.

Advance U.S. Technology Leadership

Support Vibrant U.S. Fab Clusters

 Each CHIPS-funded fab cluster in the U.S. will be supported by

dozens of suppliers, including many investing in the U.S. for the first

time

 State and local entities encouraged to help facilitate the expansion of

these ecosystems
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Funding Opportunities

February 28, 2023

Funding 

Opportunity 

(Released)

For commercial

leading- edge,

current, and mature 

node fabrication

facilities

June 23, 2023

Funding 

Opportunity 

(Released)

For large 

semiconductor 

materials and 

equipment facility 

projects $300M+

September 29, 2023

Funding Opportunity 

(Released)

For smaller 

semiconductor 

materials and 

equipment facility 

projects under $300M

Focus of today’s webinar

Funding 

Opportunity 

Future

To support the 

construction of 

semiconductor R&D 

facilities
National Institute of Standards and Technology | U.S. Department of Commerce 9

Application Process
National Institute of Standards and Technology | U.S. Department of Commerce 10

Small Supply Chain Application Process

Phase Purpose Submission Dates

Concept plan

1 Concept Plan

Individual merit assessment of eligible, complete, and 

responsive concept plans. Once scored, a subset of 

submissions will be invited to the full application phase.

Accepted between 

December 1, 2023, and

February 1, 2024.

Full application 2 Full Application

Holistic and qualitative evaluation based on evaluation 

criteria and selection factors. Based on the evaluation, it will 

be determined whether to recommend an application for award.

3 Due Diligence Due diligence

Conduct due diligence on applications that have received 

the preliminary memorandum of terms, which would include 

national security risks, financial and commercial information, 

environmental impacts, and other issues.

For applications invited 

to the full application 

phase, the program will 

communicate 

submission dates 

individually upon 

notifying them of their 

advancement. a

Award Preparation

and Issuance 4

Application approval, modification, or rejection by 

selecting official. Award decisions are final and may not be 

appealed.

Concept Plan submissions portal opens on November 17. If you are planning to submit a Concept Plan by 

February 1, please register as soon as possible and familiarize yourself with the portal and resource materials.
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Funding Eligibility

For 

organizations 

that are...

private

consortia

non-profit

that can 

substantially...

finance

construct

expand

modernize

a U.S. facility 

for...

assembly

production

of...

materials used 

to manufacture 

semiconductors

semiconductor 

manufacturing 

equipment

of...for capital 

investment of...

less than 

$300 million*

*Projects with capital investments below $20 million are unlikely to be funded unless justification shows how it meaningfully contributes to 

the Program’s strategic objectives.
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Application and Webinars – Key Dates

Application

Smaller Supply Chain Funding 

Opportunity Released September 29, 2023

Concept Plan Submission Portal Opens November 17, 2023

Concept Plan Submissions 

Accepted Between

December 1, 2023, 

and February 1, 2024

Full Application Invitations to Apply Sent TBD 2024

Full Application Submission Portal Opens TBD 2024

Webinars

Smaller Supply Chain Funding 

Opportunity Launch September 29, 2023

How to Apply for the Smaller 

Supplier NOFO November 17, 2023

How to Complete a Full 

Application TBD 2024

Financial Information for Full 

Application TBD 2024

Environmental Questionnaire TBD 2024

Specific dates for the Full Application phase will be announced early 2024
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How to Complete a Concept Plan
National Institute of Standards and Technology | U.S. Department of Commerce 14

How to Submit

Concept Plan 

Submissions Portal 

launches November 17

Accepted between 

December 1, 2023, and

February 1, 2024

Submit the Concept Plan 

Application through 

applications.chips.gov

After Concept Plan Submission

The CHIPS Program Office will

 Send a confirmation email once the

Concept Plan Application is submitted

 Review submission and may reach out 

for additional information or clarification

 Provide a written determination
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Concept Plan Requirements Deep dive on next slides

Section Web Form PDF Description Consortium Specific

A Acknowledgement Consent to access and use of data and information

B Cover Page and Applicant Profile Provide applicant details (organization information, point of contact, 

SAM.gov registration status, organization ownership structure, etc.)

C Sources and Uses of Funds Includes the sources & uses forms and CHIPS incentives request 

justification

D Concept Plan Project Information Project, facility, and facility outputs information

If applicable: Enter consortium and partner information

E Narrative Uploads

1) Consortium Narrative (if applicable) – no more than 5 pages 

2) Concept Plan Narrative (required) – no more than 15 pages

3) Cover Page (optional) – legend for confidential information

F Confirmation of Ability to Submit Confirm eligibility

G Attestation and Submission Submit Concept Plan

Concept Plan submissions portal opens on November 17
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Important Concept Plan Considerations (1/2)

Section Key Details Consortium

B Cover Page and 

Applicant Profile

 SAM.gov account not yet required, but is required for the award process

 Note that if you are a subsidiary of another entity the information on the applicant should 

also be provided for the ultimate corporate parent

C Sources and 

Uses of Funds

 Total project capital sources should be greater than or equal to the capital investment 

costs

 Chips Incentive justification required. 

Note: Direct Funding amounts will generally be 10% of project capital expenditures, and in 

no event greater than 30% of project capital expenditures

 The Department expects that projects with capital investments below $20M are 

unlikely to meet the scalability standard. If a sub-$20M project does meet this standard, 

the Department generally expects other stakeholders—including chipmakers, larger 

suppliers, and state and local entities—to make the project viable without CHIPS funding.

D

Concept Plan 

Project 

Information

 Indicate whether the applicant is part of a consortium and if so, a “Consortium Key” will 

be required (generated by the portal). The “Consortium Key” will be generated if the 

applicant is the first member of its consortium to submit a concept plan.

 This will include a description of the facility as well as the products the facility will 

produce (including type of equipment, material, etc.)
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Important Concept Plan Considerations (2/2)

Section Key Details Consortium

E

Consortium 

Narrative

 Applicant will provide the name and role of each member in the consortium, as well as the structure of the

consortium and how members intend to collaborate and coordinate with each other.

 The applicant must articulate the consortium’s overall strategic vision with a focus on its alignment with the

Department’s national security and economic objectives.

 The applicant must describe why the proposed projects are necessary to advance the consortium’s vision and

why CHIPS funding is necessary for the investments.

F Concept Plan 

Narrative

 Applicant must describe the project including construction, expansion, or modernization activities proposed,

products that the facility will produce or will produce, as well as the scale, size, and capacity of production.

 Applicant must provide a profile including description of themselves, ownership structure, and primary officers.

 The applicant must include a justification on how the incentives will incentivize the investment into

facility/equipment and how the incentives will change the nature, speed, and scale of investment .

 Applicant must show alignment with the economic and national security objectives including how the project will further

them and support supply chain resilience, technology leadership and U.S. fab clusters.

 Applicant must prove commercial viability including demand drivers, and provide evidence of demand such as take-off

agreements, and letters of reference.

 Applicant must show project feasibility and readiness including the project’s technical feasibility, experience and

qualifications of key personnel, and a list of comparable facilities previously commissioned.

 Applicant must show availability of funds including capital investments and capital sources.
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Frequently Asked Questions

How is the requested financial information for this 

funding opportunity different than what is required for 

the previous funding opportunity?

• This funding opportunity has been streamlined so that it's tailored

for smaller businesses.

• Applicants will be asked to provide information about their planned

capital investment and sources of funds via a Sources and Uses of

Funds form during the Concept Plan phase. There is no financial

model required in the Concept Plan phase.

• A substantially simplified model is required for the Full Application

and a sample model is available on the CHIPS website.
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Full Application

Selected Applicants 

will be invited to the 

Full Application phase

For applicants invited 

to the full application 

phase, the program will

communicate 

submission dates 

individually upon 

notifying them of their 

advancement

What is Needed?

being offered a covered incentive

documenting workforce needs and a 

strategy to meet them

making a commitment to worker and 

community investment

securing commitment from regional 

educational and training entities

producing a simplified financial model

having an executable plan for identifying 

and mitigating relevant semiconductor 

supply chain security risks 
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What Makes a Good Concept Plan
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NOFO 2 Concept Plan Evaluation Criteria

Supply Chain 

Resilience,

Tech Leadership,

Cluster Support

• Cluster Support 

• Supply Chain 

Resilience and Risk 

Management

• US Technology 

Leadership

• For a Consortium: 

Strength of the 

Strategic Vision and 

the Role of the Project

1

40 points

Commercial 

Viability 

• Demand and Ability to 

Scale

• Evidence of Customer 

Demand

2

20 points

Likelihood of 

Success 

• Applicant Experience

• Technical Feasibility 

and Environment

• Construction Plan

3

15 points

Availability of

Non-CHIPS Funding 

• Existence of NonCHIPS Sources

4

15 points

Justification for 

CHIPS Incentives 

Request 

• Would the Project 

Occur without CHIPS?

• Incentives Percentage 

of CAPEX

5

10 points

Total Evaluation Criteria Score = 100 points
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Examples of Strong Concept Plans (1/2)

1 Supply Chain Resilience, Tech 

Leadership, Cluster Support 

Cluster Support

• Projects that advance clusters by closing critical 

gaps in the U.S. supplier landscape

Supply Chain Resilience

• Evidence that the project will help reduce 

chokepoint risks from geographic concentration

Tech Leadership

• Evidence of how a project will develop new and 

innovative capabilities in the US

For Consortia: Projects should include an additional 

description of how the proposed project is necessary 

to advance the strategic vision of the consortium

NOTE: If a project does not provide cluster support, the 

application must make a compelling case for advancing one 

of the Department’s other two objectives to receive funding

40 points

2 Commercial

Viability 

• Projects should use market data to 

demonstrate strong underlying demand for 

the proposed project

• Strong concept plans will include specific 

evidence of customer demand like key 

off-take agreements, letters of reference or 

intent, or just a list of top customers for each 

major product and associated volumes

20 points
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Examples of Strong Concept Plans (2/2)

3 Likelihood of

Success

• Projects should show evidence

that they can execute on both

the construction and

technology being proposed in

the project

• Strong Concept Plans will

include a construction

schedule, a detailed

explanation of the experience

and qualifications of key

management personnel, as

well as their experience with

projects of similar size and

scope

15 points

4 Availability of Non-CHIPS

Funding 

• Projects should provide evidence of how

they intend to crowd in private capital

• Projects should include credible

evidence of those funds

15 points

5 Justification for CHIPS

Incentives Request

• Explain how CHIPS incentives will

incentivize a project that would not 

occur in the absence of CHIPS 

incentives either in size, scope or speed

10 points
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Frequently Asked Questions

I am seeking funding for multiple projects. Can I submit 

them all in one application?

• For the purposes of NOFO 2, applicants may include only one 

project per application. 

• A “project” is defined as a set of capital expenditures for the 

construction, expansion, or modernization of a single facility.

• If you are seeking funding for multiple projects, you must submit a 

separate application for each project.
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Frequently Asked Questions

Does this funding opportunity include requirements 

related to child care and upside sharing?

• Applicants to this NOFO are not required to provide a plan for 

access to child care because awards under this funding 

opportunity will not exceed the $150 million threshold established 

in the first NOFO.

• This is the same reason the NOFO does not include an upside 

sharing requirement.

• With respect to child care, applicants are still strongly encouraged 

to consider providing their workers with access to child care.
National Institute of Standards and Technology | U.S. Department of Commerce 26

Overview of Successful Clusters

and Consortia
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Defining Consortia and Clusters

Consortium

A collection of... 

 Private

 Non-profit

and/or

 Public

...entities working together

to build a regional 

semiconductor ecosystem.

Cluster

A geographically 

compact area with...

At least one large 

commercial scale fab 

owned and operated 

by one or more 

companies

A large, diverse, 

and skilled 

workforce Nearby suppliers to 

the semiconductor 

industry

R&D facilities Utilities

Specialized infrastructure, such as chemical 

processing and water treatment facilities

Businesses are not expected to create clusters on their own. If a project does not support a cluster,

the application must make a compelling case for advancing either Supply Chain Resilience and

Risk Management or US Technology Leadership.
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Consortium Applications

What does a strong 

consortium look 

like?

 At least 2 suppliers

 A state or local government 

entity

 An anchor institution

 May also contain workforce 

training providers, labor 

unions, econ dev corps, 

higher ed, and more

 Does not require an umbrella 

organization or formal legal 

structure

What is required for 

consortium in the 

concept plan stage? 

1. Consortium Narrative (all 

members of the consortium 

are required to submit a 

Consortium Narrative that 

will require coordination with 

all the other members) 

2. Consortium Key 

(identification number given 

to each consortium while 

using the portal application)

3. Individual Project Plan 

Narrative (all members will 

also need to submit their 

own individual project plan 

narrative

Is a consortium 

required?

 A consortium is not

required to submit an 

application

 Applying as a consortium 

is strongly encouraged 

for applicants claiming to 

benefit U.S. clusters

 Also encouraged for 

applicants claiming to 

support the other two 

objectives
National Institute of Standards and Technology | U.S. Department of Commerce 29

Why apply as part of a consortium?

Application Advantages

Covered Incentive

Satisfied by one letter that offers incentive to all eligible 

facilities in the consortium.

Worker and Community Investment

May collaborate to achieve economies of scale.

Members decide how much funding and/or other 

resources each contributes to overall commitments.

Workforce Training Commitments

May work together to secure required commitments 

from educational and training entities.

Workforce Strategy

Members may develop one strategy at the consortium 

level covering each consortium member.

Benefits

 We generally expect applicants applying 

as part of consortia to be better 

positioned to meaningfully contribute to 

the development or sustainability of a 

cluster

 Applicants can work together to satisfy 

requirements

 Achieve greater economies of scale, 

efficiency, and effectiveness

 Take advantage of the shared skills and 

resources

All the sections under Application Advantages must be fully demonstrated in the Full Application 
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Potential Consortium Resources

• Many states and EDO’s are 

taking an active role in facilitating 

CHIPS consortia applications

• SelectUSA’s website includes 

contact information for economic 

development organizations in all 

50 states and territories

Economic Development 

Organizations (EDO)

• The Manufacturing Extension 

Partnership Program (MEP) is a 

national network with hundreds 

of specialists who understand 

the needs of America's small 

manufacturers

• MEP provides companies with 

services and access to public 

and private resources to 

enhance growth, improve 

productivity, reduce costs, and 

expand capacity

Manufacturing Extension 

Partnership Program (MEP)

• List will enable entities to share 

information, foster collaboration, 

and advance shared goals. 

• These entities can include 

educational and workforce 

training providers; childcare 

providers; organizations that 

engage or support minorityowned, women-owned, and 

veteran-owned businesses; 

community-based organizations; 

labor unions; and others.

Teaming Partner List

A consortium is not required to submit an application. Although encouraged for cluster-focused 

applications, the Department still intends to support standalone projects that meaningfully advance

any of the other two strategic objectives outlined in the NOFO.
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Frequently Asked Questions

The Department expects strong consortia to include an 

anchor institution, like a semiconductor fab. Are there 

other examples of anchor institutions?

• In addition to semiconductor fabs, anchor institutions could include 

large suppliers, universities, and/or advanced packaging facilities

• In addition to anchor institutions, strong consortia will also include 

at least two suppliers and a state or local government entity and 

may include entities such as workforce training providers, labor 

unions, economic development corporations, institutions of higher 

education, philanthropic foundations, industry organizations, Tech 

Hubs, or other relevant entities.
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Frequently Asked Questions

For those of us who represent state and local 

governments, what does a good “letter of support” look 

like for applicants we are really excited about?

• Strong state and local incentives letters will include a description of the 

nature of collaboration between the applicant and state/local 

government; description and dollar value of both the project-specific and 

cluster incentives offered by your entities (including tax/direct financial 

incentives to the project; energy, water, or wastewater investments; 

and/or workforce development investments to support the project.

• Especially strong letters will spell out how the particular project or 

consortium is crucial to the development of a vibrant semiconductor 

cluster ecosystem in the state/region and fills critical gaps in the regional 

ecosystem.
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Next Steps and Additional Resources
National Institute of Standards and Technology | U.S. Department of Commerce 34

Next Steps and Resources

Next Steps

• Submit a Concept Plan Application

• Visit CHIPS.gov for additional resources

• Join our mailing list

• Contact us: apply@chips.gov for applicationrelated inquiries

Additional Resources

• Concept Plan Instructions

• NOFO 2

• NOFO 2 Fact Sheet

• NOFO 2 FAQ’s

• NOFO 2 Launch Webinar

Concept Plan Submissions Portal 

launches November 17

Accepted between December 1, 

2023, and February 1, 2024
National Institute of Standards and Technology | U.S. Department of Commerce 35

Thank you