Applications for New Awards; Preschool Development Grants-Preschool Pay for Success Feasibility Pilot, 56616-56626 [2016-20021]

Agencies

• DEPARTMENT OF EDUCATION

[Federal Register Volume 81, Number 162 (Monday, August 22, 2016)]
[Notices]
[Pages 56616-56626]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-20021]


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DEPARTMENT OF EDUCATION


Applications for New Awards; Preschool Development Grants--
Preschool Pay for Success Feasibility Pilot

AGENCY: Office of Elementary and Secondary Education, Department of 
Education.

ACTION: Notice.

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Overview Information

    Preschool Development Grants--Preschool Pay for Success Feasibility 
Pilot Notice inviting applications for new awards for fiscal year (FY) 
2016.

Catalog of Federal Domestic Assistance (CFDA) Number: 84.419C.

DATES: 
    Applications Available: August 22, 2016.
    Deadline for Notice of Intent to Apply: September 12, 2016.
    Deadline for Transmittal of Applications: October 6, 2016.

Full Text of Announcement

I. Funding Opportunity Description

Purpose of Program

    The purpose of this Preschool Pay For Success (PFS) Feasibility 
Pilot is to encourage State and local PFS activity for preschool 
programs by providing grants for Feasibility Studies.\1\ The 
Feasibility Studies will determine if PFS is a viable and appropriate 
strategy to implement preschool programs that are high-quality and 
yield meaningful results. The Department, in consultation with the 
Department of Health and Human Services (HHS), developed the Preschool 
PFS Feasibility Pilot. The ultimate aim of the Preschool PFS 
Feasibility Pilot is to improve early learning outcomes through a High-
Quality Pay for Success Project by providing grants for Feasibility 
Studies. This pilot does not limit feasibility studies to programs that 
meet the definition of ``high-quality'' preschool used by the Preschool 
Development Grants program in its 2014 grant competition in order to 
allow the PFS demonstrations to demonstrate high-quality in different 
ways, including through the impacts that the pilots are able to 
achieve. In this way, such projects could further develop the evidence-
base of programs that are demonstrated to be effective.\2\ However, the 
Preschool PFS Feasibility Pilot does not fund the implementation of 
preschool services. These Feasibility Studies will test the viability 
of PFS for preschool models designed to effectively serve the Target 
Population, and identify a broad range of potential Outcome Measures 
designed to both demonstrate improved student outcomes and result in 
potential cost savings to school districts, Local Governments, and 
States, as well as provide more general benefits to society.
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    \1\ Defined terms are used throughout the document and are 
indicated by capitalization.
    \2\ As published in the Federal Register on August 18, 2014 (79 
FR 48853 and 79 FR 48873).
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    In awarding Preschool PFS Feasibility Pilot grants, the Department 
will only support Feasibility Studies that propose to identify rigorous 
safeguards to protect the interests of students and their families. 
This includes not creating incentives for reducing special education 
referrals or placement when Children with Disabilities need these 
services and related services under the Individuals with Disabilities 
Education Act (IDEA), 20 U.S.C. 1400 et seq., in order to be 
successful. Such incentives would contravene the IDEA requirements that 
States and school districts have policies and procedures in effect to 
locate, identify, and evaluate children suspected of having 
disabilities and who are in need of special education and related 
services and to ensure that a free appropriate public education (FAPE) 
is made available to eligible children, 20 U.S.C. 1412(a)(3) (Child 
Find) and 20 U.S.C. 1412 (a)(1) (FAPE). Possible safeguards should 
include: Procedures to ensure that the determination of a child's 
eligibility for special education and related services under the IDEA 
is completely separated from the financial structure of the project; 
evaluation methods that mitigate the risk of incentives to exclude or 
prematurely exit children from needed services and support; stakeholder 
involvement with groups or families who represent students with 
disabilities in developing and evaluating the project; inclusion of 
longer-term impacts, such as third grade reading achievement, on both 
treatment and control groups; and may include other strategies. The 
Department is interested in proposals for possible outcome measures 
that reflect improved outcomes for students with disabilities while 
protecting their rights under IDEA.
    The Department plans to make publicly available the completed 
Feasibility Studies and related reports in order to make tools and 
models available to the public, facilitate knowledge-sharing, and 
lessen the burden of future feasibility assessments in communities. 
Further, if the Feasibility Studies conclude that PFS is viable, it is 
the intent of the Department for grantees to use the Feasibility 
Studies, after the grant period, to develop a PFS project to improve 
early learning outcomes.

Background on the Pay For Success Model

    Under this program, the Department will award grants to States, 
Local Governments, and Tribal Governments to conduct Preschool PFS 
Feasibility Pilots. PFS includes innovative contracting and financing 
models that seek to test and advance promising and proven 
interventions, while paying only for successful impacts and outcomes 
for families, individuals, and communities. Through a PFS project, a 
government (or other) entity enters into a contract to pay for the 
achievement of concrete, measurable outcomes for specific people or 
communities. Service providers deliver interventions to achieve these 
outcomes. Payments, known as Outcomes Payments, are made only if the 
interventions achieve those outcomes agreed upon in advance. In many 
cases, these outcomes are expected to occur over a period of years, 
meaning that the service providers need outside funding in order to 
cover their operating costs. In these cases, PFS financing is used by 
bringing in Investors, which are recruited typically by an Intermediary 
contracted by the government. The government or other entity makes 
Outcomes Payments that, where PFS financing is used, repay Investors 
for their capital that covered the costs of services (and sometimes 
other projects costs) and offer them a modest return. In these cases 
payments are tied to the impact of the intervention, which means the 
improved outcomes for program recipients relative to a counterfactual, 
that is, what would have occurred absent the intervention. Ideally, 
with or without PFS financing, Outcomes Payments amount to a fraction 
of the

[[Page 56617]]

short- and long-term cost savings to the government (or other) entity 
resulting from the successful outcomes. In other cases, these payments 
may represent an overall greater value to both the recipients of 
services and to the government or other payor based on the achievement 
of better outcomes than would otherwise have occurred.
    The PFS contracting and financing model requires a partnership 
among multiple stakeholders. Partners typically include:
     One or more outcomes ``payors,'' generally Federal, State, 
Local Government, or Tribal Government entities, or other public or 
private entities that contract to pay for outcomes when achieved;
     Service provider(s), which deliver the intervention 
intended to achieve the outcomes;
     Investor(s), which cover the up-front cost of implementing 
the intervention and may also cover other associated costs through PFS 
financing; and
     An independent evaluator, which determines, through a 
Rigorous Evaluation, whether the intervention achieved the outcome(s) 
sought. Most PFS projects to date have also included a project 
coordinator or Intermediary to facilitate and manage the contracting 
process and project.
    The development, implementation, and evaluation of PFS projects 
typically involve three stages: Feasibility Study; transaction 
structuring; and agreement implementation.
    The first stage, the Feasibility Study which is the focus of this 
solicitation, includes the following activities:
     Identification of outcome(s) sought, in particular for the 
population being served;
     Assessment of community needs, assets, and capacity;
     Identification of a challenge(s) or barrier(s) for serving 
a particular population or addressing a social issue and determination 
of the total costs associated with the lack of intervention;
     Identification of interventions that can achieve the 
desired outcome(s);
     Projection of the potential public value, including any 
savings, to be achieved through potential interventions;
     Determination of the willingness and capacity of 
stakeholders to implement a PFS project; and
     Development of Rigorous Evaluation methodology to 
determine if Outcome Measures have been achieved.
    If the Feasibility Study has determined that a PFS project is 
viable, the next steps to implement the PFS project through transaction 
structuring and agreement implementation, which are beyond the scope 
and period of this grant. These activities include structuring the 
financial agreements, finalizing the evaluation, implementing the 
intervention and evaluation, measuring outcomes, and making Outcomes 
Payments (if appropriate).
    While not a ``silver bullet,'' PFS models offer many potential 
benefits; for example:
     People and communities in need are able to receive 
services as a result of the capital provided by investors;
     Governments can test the effectiveness of interventions--
including long-standing models, promising innovations, or adaptations 
of existing models--or can scale proven interventions that might not 
otherwise be possible due to funding restrictions or other limitations;
     Service providers can assess the rigorous research 
measuring the impact of their interventions while also accessing a 
steady stream of funding for the life of the PFS project;
     Investors can create positive social impact and earn a 
modest return if outcomes are achieved;
     Multiple entities, including government, service 
providers, and stakeholders, can benefit from the cross-sector 
collaboration and appropriate data sharing (that complies with the 
Family Educational Rights and Privacy Act (20 U.S.C. 1232g; 34 CFR part 
99) that PFS facilitates; and
     Rigorous Evaluation of PFS projects strengthens the 
field's knowledge about effective practices in order to drive better 
outcomes in the future.

Use of PFS Financing for Preschool

    The PFS model can be a promising approach for preschool financing 
because of preschool's rigorous research base, which includes proven 
interventions that can generate measurable outcomes. Evidence 
demonstrates that participation in high-quality inclusive early 
learning programs can lead to both short- and long-term positive 
outcomes for children, especially those from low-income families and 
Children with Disabilities.\3\ Additionally, early identification and 
early supports and services for Children with Disabilities is 
especially important in impacting long term outcomes. Research has 
shown multiple benefits of participating in preschool programs, 
including increased school readiness, lower rates of grade retention 
and need for remediation, improved high school graduation rates, 
reduced interaction with law enforcement and teen pregnancy, and higher 
rates of college attendance.\4\ Longitudinal data show that increasing 
access to high-quality preschool programs, particularly for at-risk 
children from low-income families, can help close achievement gaps 
prior to kindergarten entry.\5\
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    \3\ Odom, S.L., et al. (2004). Preschool inclusion in the United 
States: A review of research from an ecological systems perspective. 
Journal of Research in Special Educational Needs, 4(1), 17-49.
    \4\ Yoshikawa, H., Weiland, C., Brooks-Gunn, J., Burchinal, M., 
Espinosa, L., Gormley, W., & Zaslow, M.J. (2013). Investing in Our 
Future: The Evidence Base for Preschool Education. Policy brief, 
Society for Research in Child Development and the Foundation for 
Child Development. Retrieved from the Foundation for Child 
Development Web site: fcd-us.org/sites/default/files/EvidenceBaseonPreschoolEducationFINAL.pdf; Council of Economic 
Advisors. (2014). The Economics of Early Childhood Investment. 
Accessed from www.whitehouse.gov/sites/default/files/docs/early_childhood_report1.pdf.
    \5\ Gormley, W.T., et al. (2005) . ``The Effects of Universal 
Pre-K on Cognitive Development,'' Developmental Psychology (41) 
(2005):872-884.
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    PFS may also be an appropriate mechanism to finance and rigorously 
evaluate adaptations and other models of providing preschools services, 
in order to further develop the evidence base of effective models to 
achieve impacts. Communities where it is difficult or not possible to 
secure new or additional government resources may choose to pursue a 
preschool PFS project as a short-term strategy to finance the immediate 
costs of providing preschool services or as one strategy to promote 
more effective investments of public dollars. Taxpayer dollars in a PFS 
contract are only expended when the intervention--here, preschool 
services--actually benefit children's lives in the ways we anticipate 
and hope.
    The Department notes, however, that preschool PFS is one 
supplemental financing strategy for early learning and not a substitute 
for local, State, and Federal funding for full expansion of high-
quality early education. The Department also notes that PFS may not be 
the best or most cost-efficient model to provide high-quality preschool 
services, and may be more expensive than alternate financing models 
when scaling up effective preschool programs. We hope to build on the 
evidence that further demonstrates the value of public investment in 
preschool \6\ and identify innovative service models that produce 
larger impacts and more diverse

[[Page 56618]]

outcomes across a broader range of domains.
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    \6\ Gormley, W.T., et al. (2005). ``The Effects of Universal 
Pre-K on Cognitive Development,'' Developmental Psychology (41):872-
884; Karoly, L.A. & Auger, A. (2016). Informing Investments in 
Preschool Quality and Access in Cincinnati. RAND. Accessed from 
https://www.rand.org/pubs/research_reports/RR1461.html.
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PFS Outcome Measures

    Identifying specific Outcome Measures on which to base the success 
of a program is a critical component of PFS. A PFS Feasibility Study 
identifies and explores potential Outcome Measures for an intervention 
to determine whether a PFS project is viable. This Preschool PFS 
Feasibility Pilot is designed to build upon PFS preschool projects 
conducted to date by identifying Outcome Measures that can both support 
a PFS project while providing structural safeguards against undesirable 
incentives and yielding evidence of the effectiveness of the preschool 
program. At this early stage in the development of State and local PFS 
as a financing model for preschool, projects have focused on a limited 
number of Outcome Measures that are easily quantifiable, such as the 
reduction in special education placement.
    Project applicants for this grant may choose to use this measure 
among a number of Outcome Measures to be evaluated in the Feasibility 
Study. However, access to needed special education and related services 
is not only critical for Children with Disabilities but also required 
by IDEA for those preschool-age children who have been determined 
eligible for special education and related services. Preschool PFS 
projects should never result in reducing appropriate referrals for 
children who are suspected of having a disability and have the right to 
be evaluated to determine eligibility for special education and related 
services under IDEA. It is important that PFS projects that use the 
reduction in special education placement as one of the Outcome Measures 
not create incentives that would reduce referrals of children who are 
suspected of having a disability under IDEA and are in need of special 
education and related services. Such incentives would effectively 
result in denying eligible Children with Disabilities the special 
education and related services to which they are entitled under IDEA.
    In addition to a reduction in the need for special education and 
related services and remediation in future years, research shows that 
the expansion of high-quality preschool can lead to improved student 
achievement, improved social and emotional well-being, improved 
Executive Functioning,\7\ and earlier identification of Children with 
Disabilities.\8\ As the research indicates investment in preschool 
results in a broad range of both short- and long-term outcomes that 
benefit children, government, and society, there are multiple savings 
and societal benefits worth exploring. Potential Outcome Measures may 
include: Increases in kindergarten readiness; improved reading and math 
growth or achievement; improved social and emotional skills; improved 
Executive Functioning; improved child outcomes due to the earlier 
identification of Children with Disabilities; reductions in grade 
retention, discipline referrals, and interactions with law enforcement; 
and increases in high school graduation.\9\ The Department is 
interested in finding ways to quantify these benefits, and developing 
research-based workable data-driven approaches to monetize such short-, 
medium-, and long-term benefits. Additionally, the Department is 
interested in Feasibility Studies that include Outcome Measures that 
document the potential cost savings associated with, and societal 
benefits of, the participation of Children with Disabilities in 
inclusive preschool programs. We note, however, that savings to society 
are not the primary reason to invest in and expand preschool. There are 
meaningful benefits to the lives of children and families, such as 
those discussed above.
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    \7\ Gormley, W., Phillips, D., Welti, K., Newmark, K., & 
Adelstein, S. (2011). Social-emotional effects of early childhood 
education programs in Tulsa. Child Development, 82, 2095-2109; 
Weiland, C., & Yoshikawa, H. (2013). Impacts of a prekindergarten 
program on children's mathematics, language, literacy, executive 
function, and emotional skills. Child Development. 84, 2112-2130; 
Yoshikawa, H., Weiland, C., Brooks-Gunn, J., Burchinal, M., 
Espinosa, L., Gormley, W., & Zaslow, M.J. (2013). Investing in Our 
Future: The Evidence Base for Preschool Education. Policy brief, 
Society for Research in Child Development and the Foundation for 
Child Development. Retrieved from the Foundation for Child 
Development Web site: fcd-us.org/sites/default/files/EvidenceBaseonPreschoolEducationFINAL.pdf.
    \8\ Meisels, S.J. (2000). The elements of early childhood 
assessment. In J.P. Shonkoff & S.J. Meisels (Ed.), Handbook of early 
childhood intervention. New York, NY: Cambridge University Press.
    \9\ Various studies of preschool programs have found that 
preschool participation has improved these outcomes. For example, 
see Council of Economic Advisors (2014), Gormley, et al. (2011), 
Weiland & Yoshikawa (2013), and Yoshikawa, et al. (2013).
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    Priorities: We are establishing these priorities for the FY 2016 
PFS Feasibility Pilot grant competition only, in accordance with 
section 437(d)(1) of the General Education Provisions Act (GEPA), 20 
U.S.C. 1232(d)(1).
    Absolute Priority: This priority is an absolute priority. Under 34 
CFR 75.105(c)(3), we consider only applications that meet this 
priority.
    This priority is:
Feasibility Study
    Under this priority, the applicant must propose a Feasibility Study 
that will determine the viability of using a PFS approach to expand or 
improve a preschool program for a Target Population, and describe the 
potential Outcome Measures the applicant proposes to identify and 
evaluate for appropriateness for PFS. Any applicant that includes a 
Feasibility Study for a PFS project that proposes to reduce the need 
for special education and related services as an Outcome Measure must 
also include at least one other meaningful and substantive Outcome 
Measure of short-, medium-, or long-term student achievement, such as 
kindergarten readiness, reading and math growth or achievement, and 
improved social and emotional skills.
    Competitive Preference Priority: This priority is a competitive 
preference priority. Under 34 CFR 75.105(c)(2)(i) we award up to an 
additional five points to an application, depending on how well the 
application meets this priority.
    This priority is:
Outcome Measures Across Various Domains
    To meet this priority, an applicant must propose a Feasibility 
Study to evaluate if PFS is viable that would evaluate social and 
emotional or Executive Functioning Outcome Measures, or both. These 
potential outcome measures may be predictive of future school success, 
cost savings, cost avoidance, and other societal benefits, and may 
appropriate to include in a PFS project.
    Application Requirements: An application for a Preschool PFS 
Feasibility Pilot must include the following:
    (a) A project statement of need for the Target Population that 
includes--
    (1) A definition of the Target Population to be served, based on 
data and analysis demonstrating the need for services within the 
relevant geographic area; and
    (2) Data demonstrating how the Target Population lags behind other 
groups in achieving key outcomes that a future PFS project will seek to 
achieve.
    (b) A description of the preschool program, which must include an 
explanation of how the design of the program ensures it is high-
quality, including evidence supporting its design and policies to 
ensure, at a minimum:
    (1) An evidence-based curriculum;
    (2) High-quality professional development for all staff;

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    (3) High Qualifications for Teachers;
    (4) A child-to-instructional staff ratio of no more than 10 to 1;
    (5) Inclusion of Children with Disabilities; and
    (6) Inclusion of at-risk children and children representing other 
high-needs populations, such as homeless children and English 
Learners.\10\
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    \10\ As noted in the Purpose section of this program does not 
require an applicant to conform to the definition of high-quality 
preschool in the 2014 Preschool Development Grants program.
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    (c) A description of--
    (1) How the preschool program is likely to improve student outcomes 
in the short-, medium-, and long-term, based on quantitative, 
qualitative, or theoretical evidence (e.g., prior research base or with 
a logic model);
    (2) The goals, objectives, and outcomes to be achieved by the 
preschool program which are clearly specified and measurable and will 
demonstrate student success; and
    (3) How the intervention is appropriate for, and will successfully 
address, the needs of the Target Population.
    (d) An explanation for why PFS may be an appropriate financing 
strategy and how existing funding resources preclude serving this 
population or administering this program.
    (e) A description of the Preschool PFS Partnership or, if a 
Preschool PFS Partnership does not already exist, a plan for developing 
a Preschool PFS Partnership, that includes a government entity that 
will serve as the outcomes payor and an Independent Evaluator, and may 
include an Intermediary.
    (f) A description of potential Outcome Measures to be evaluated in 
the proposed Feasibility Study. If one of the identified Outcome 
Measures is the reduction in special education placement, the applicant 
must include at least one other meaningful and substantive Outcome 
Measures of student achievement such as kindergarten readiness, reading 
and math growth or achievement, or improved social and emotional 
skills. Applicants may also propose to include other longer-term 
measures such as reduced interactions with law enforcement and 
increased high school graduation rates. While these measures may not 
occur within the time frame of a PFS project, the Department is 
interested in workable, researched-based, and data driven analytical 
approaches to capturing these benefits based on research short and 
intermediate term indicators.
    Program Requirements: Within the project period of the grant award, 
an eligible applicant awarded a Preschool PFS Feasibility Pilot Grant 
must--
    (a) Submit a written Feasibility Study that consists of the 
following, at a minimum:
    (1) A description of the preschool program model to be implemented, 
which must include an explanation of how the design of the program 
ensures it is high-quality, including evidence supporting its design 
and policies to ensure, at a minimum--
    (i) An evidence-based curriculum;
    (ii) High-quality professional development for all staff;
    (iii) High Qualifications for Teachers;
    (iv) A child-to-instructional staff ratio of no more than 10-to-1;
    (v) Inclusion of Children with Disabilities;
    (vi) Inclusion of at-risk children and children representing other 
high-needs populations, such as homeless children and English Learners; 
and
    (vii) A description of--
    (A) How the intervention is likely to improve student outcomes, 
based on quantitative, qualitative, or theoretical evidence;
    (B) The goals, objectives, and outcomes to be achieved by the 
preschool program, which are clearly specified and measurable and will 
demonstrate student success; and
    (C) How the intervention is appropriate to, and will successfully 
address, the needs of the Target Population.
    (2) Identification of one or more clearly specified and measurable 
Outcome Measures. Any grantee that identifies the reduction in the need 
for special education as an Outcome Measure must include other 
meaningful and substantive measures of student achievement, such as 
kindergarten readiness, reading and math growth or achievement, or 
improved social and emotional skills to be evaluated in the short-, 
medium-, and longer-term, for both the treatment and control group. If 
the grantee uses reduction in special education placement as a 
potential Financial Benefit in its Feasibility Study, the grantee must 
provide a reasonably designed, detailed plan for safeguarding the 
rights of Children with Disabilities and their parents, and for meeting 
the IDEA Child Find requirements in 20 U.S.C. 1412(a)(3), to ensure 
that children suspected of having a disability under IDEA are properly 
identified and evaluated and that eligible children receive appropriate 
special education and related services in compliance with IDEA and 
relevant State and local laws. This plan must include, at a minimum--
    (i) Processes to ensure that determination of eligibility for 
special education and related services is completely separate from the 
financial structure of the project;
    (ii) A description of how the evaluation methodology to measure the 
reduction in the need for special education mitigates the risk of 
perverse incentives;
    (iii) A description, based on research and data, of how the other 
Outcome Measure(s) are meaningful and substantive and indicative of 
student success; and
    (iv) A description of how local stakeholders were involved with 
developing the plan for safeguards.
    Grantees may also include longer-term measures such as reduced 
interactions with law enforcement and increased high school graduation 
rate.
    (3) A Cost-Benefit Analysis that evaluates whether the preschool 
program is viable for PFS, including a framework and analysis for 
estimating the Benefits of the preschool program for the Target 
Population.
    (4) Identification of any statutory or legal barriers to 
implementing PFS and recommendations of approaches to overcome these 
barriers.
    (5) Identification of potential sources of Outcomes Payments from a 
government entity or other sources.
    (b) If the Feasibility Study concludes that PFS is viable, submit a 
written report that--
    (1) Identifies partners for a Preschool PFS Partnership and 
includes a description of--
    (i) The roles and responsibilities of each partner; and
    (ii) An effective governance structure in which partners necessary 
to implement PFS successfully are represented and have the necessary 
authority, resources, expertise, and incentives to achieve the PFS 
project's goals and resolve unforeseen issues;
    (2) Describes a plan for Rigorous Evaluation of a PFS project to 
implement preschool services for the Target Population and demonstrates 
that the Preschool PFS Partnership has the capacity to collect, 
analyze, and use data to determine if Outcome Measures have been 
achieved. Any necessary data sharing agreements must be identified; and
    (3) Describes a proposed plan to implement or scale the preschool 
program for the Target Population, a preliminary financing strategy, 
and a proposed timeline and milestones, including next steps to proceed 
to transaction structuring.
    (c) If the Feasibility Study concludes that PFS is not viable, 
provide a written

[[Page 56620]]

description and explanation of why such a project is not feasible and a 
discussion of potential alternatives to PFS that would contribute to 
the public good and enhance or expand preschool services or a 
description of the steps necessary to make a PFS approach feasible.
    (d) The Feasibility Study cannot include any Head Start-funded 
programs in its Preschool PFS Feasibility Pilot since Head Start is 
funded by the Federal government.
    Definitions: We are establishing the following definitions for the 
FY 2016 grant competition only in accordance with section 437(d)(1) of 
GEPA, 20 U.S.C. 1232(d)(1).
    Benefits means fiscal and other value to the public and society as 
a result of achieving the Outcome Measures through the implementation 
of the intervention for the Target Population. Benefits may include 
cost savings, cost avoidance, cost-effectiveness, and positive societal 
benefits.
    Children with Disabilities has the same meaning as the term ``child 
with a disability'' under section 602(3) of the IDEA (20 U.S.C. 
1401(3)).
    Cost-Benefit Analysis means an analysis that compares the costs of 
an intervention with the Benefits that will result from achieving the 
Outcome Measures, including a framework and description of the process 
used for estimating Benefits that would result from implementation of 
the intervention.
    For example, a Cost-Benefit Analysis of a preschool program may 
include the costs and Benefits of the initial program, later education, 
earnings, criminal behavior, tax payments, participation in public 
welfare, and health outcomes.
    English Learner means an individual--
    (a) Who is aged 3-21;
    (b) Who is enrolled or preparing to enroll in an elementary school 
or secondary school;
    (c)(1) Who was not born in the United States or whose native 
language is a language other than English;
    (2)(i) Who is a Native American or Alaska Native, or a native 
resident of the outlying areas; and
    (ii) Who comes from an environment where a language other than 
English has had a significant impact on the individual's level of 
English language proficiency; or
    (3) Who is migratory, whose native language is a language other 
than English, and who comes from an environment where a language other 
than English is dominant; and
    (d) Whose difficulties in speaking, reading, writing, or 
understanding the English language may be sufficient to deny the 
individual the--
    (1) Ability to meet the challenging State academic standards;
    (2) Ability to successfully achieve in classrooms where the 
language of instruction is English; or
    (3) Opportunity to participate fully in society.
    Executive Functioning means a set of skills that include sustained 
attention, impulse control, flexibility in thinking, and working memory 
(the ability to hold information and manipulate it to perform tasks).
    Feasibility Study means a written report assessing the suitability 
of an intervention for PFS. A Feasibility Study includes, at a 
minimum--
    (a) A description of the preschool program model to be implemented 
through PFS;
    (b) One or more clearly specified and measurable Outcome Measures;
    (c) A Cost-Benefit Analysis;
    (d) Identification of any statutory or legal barriers to 
implementing PFS; and
    (e) Potential sources of Outcomes Payments from a government entity 
or other sources.
    Financial Benefit means a fiscal benefit to a government entity or 
entities as a result of a measurable current monetary cost savings and 
future avoided costs achieved from meeting the designated Outcome 
Measure.
    Financial Model means a quantitative model that shows public sector 
value (or value to other non-governmental outcomes payors), including 
cost savings, cost avoidance or efficiency, and societal benefit and 
links the costs of implementing the preschool services that are 
covered, in whole or in part, by the Investors to the amount and timing 
of Outcomes Payments that are made by a government entity.
    High-Quality Pay for Success Project means a PFS project that 
includes--
    (a) A well-defined problem and associated Target Population;
    (b) A service delivery strategy that is managed, coordinated, and 
guided by the service provider, is flexible and adaptive to the target 
problem and population, and has a robust, rigorous evidence base or a 
compelling theory of change with pre- and post-intervention outcomes;
    (c) One or more clearly specified and measureable Outcome Measures 
that are a significant improvement on the current condition of the 
Target Population and have been agreed to by all required project 
partners;
    (d) A plan for Rigorous Evaluation;
    (e) A financial model that shows Benefits and costs, and tracks 
effects of the project on relevant Federal, State, and local funding 
sources;
    (f) A commitment from an individual or entity to act as an outcomes 
payor (whose Outcomes Payments may be directed to Investors if they 
have covered, in part or in whole, costs associated with delivering the 
intervention);
    (g) If needed, a binding commitment of funds from one or more 
independent Investors to cover all operating costs of the intervention, 
including administrative and overhead costs of the Intermediary; and
    (h) A legal agreement and any associated necessary agreements that 
incorporate all elements above.
    High Qualifications for Teachers means that a teacher must meet one 
of the following requirements:
    (a) A bachelor's degree in early childhood education or a related 
field with coursework that demonstrates competence in early childhood 
education;
    (b) A bachelor's degree with a credential, license, or endorsement 
that demonstrates competence in early childhood education; or
    (c) A bachelor's degree in any field and--
    (1) Has demonstrated knowledge of early childhood education by 
passing a State-approved assessment in early childhood education;
    (2) While employed as a teacher in the preschool program, is 
engaged in on-going professional development in early childhood 
education for not less than two years; and
    (3) Not more than four years after starting employment as a teacher 
in the preschool program, enrolls in and completes a State-approved 
educator preparation program in which the teacher receives training and 
support in early childhood education.
    Inclusion of Children with Disabilities means, with respect to a 
preschool program, that Children with Disabilities have access to 
appropriate activities and settings that are available to their peers 
without disabilities and that the program:
    (a) Includes Children with Disabilities in classrooms and programs 
where the majority of children are typically developing. The Inclusion 
of Children with Disabilities in a classroom or program should be in 
proportion to their presence in the general preschool population. Self-
contained or separate classrooms for Children with Disabilities or 
classrooms where the majority of children are Children with 
Disabilities are not acceptable;
    (b) Provides access to, and full participation of, Children with 
Disabilities in a wide range of learning opportunities and activities. 
To the

[[Page 56621]]

maximum extent possible, and in alignment with their individualized 
education programs, Children with Disabilities, as appropriate are 
included in the preschool program throughout the entire day and across 
all learning opportunities;
    (c) Provides modifications to the environment, multiple and varied 
formats for instruction, and individualized accommodations and supports 
along a continuum to meet the needs of children with various types of 
disabilities and levels of severity; and
    (d) Ensures that special education and related services are 
coordinated and integrated within the preschool program as 
appropriate.\11\
---------------------------------------------------------------------------

    \11\ This definition is derived from the IDEA requirement that, 
to the maximum extent appropriate, children with disabilities are 
educated with children that are not disabled, and that special 
classes, separate schooling, or other removal of children with 
disabilities from the regular educational environment occurs only if 
the nature or severity of the disability is such that education in 
regular classes with the use of supplementary aids and services 
cannot be achieved satisfactorily. 20 U.S.C. 1412(a)(5).
---------------------------------------------------------------------------

    Independent Evaluator means an independent entity that rigorously 
evaluates whether the intervention achieved the Outcome Measure(s) 
sought.
    Intermediary means an entity that serves as the project facilitator 
between the parties in a PFS project. Responsibilities may include but 
are not limited to: Coordinating the development and execution of legal 
agreements, building a Financial Model to guide the terms of the legal 
agreements, and raising capital from Investors.
    Investor means an individual, entity, or group thereof that 
provides upfront capital to cover the operating costs and other 
associated costs, in part or whole, of the intervention delivered by 
the service provider.
    Local Government means any unit of government within a State, 
including a--
    (a) County;
    (b) Borough;
    (c) Municipality;
    (d) City;
    (e) Town;
    (f) Township;
    (g) Parish;
    (h) Local public authority, including any public housing agency 
under the United States Housing Act of 1937;
    (i) Special district;
    (j) School district;
    (k) Intrastate district;
    (l) Council of governments, whether or not incorporated as a 
nonprofit corporation under State law; and
    (m) Any other agency or instrumentality of a multi-, regional, or 
intra-State or local government. (See 2 CFR 200.64).
    Outcome Measure means a measure that provides an assessment of a 
program's impact and is applied to both target and comparison groups. 
It is determined using relevant program data and has defined units of 
measurement by which the impact can be tracked. Examples of Outcome 
Measures include, but are not limited to, improvement in knowledge and 
skills at kindergarten entry, reduction in the need for remedial 
services, reduction in the need for grade retention, improvement in 
third grade reading and math proficiency, and improvement in language 
development.
    Outcomes Payments means payments, as agreed to in PFS legal 
agreements, to cover repayment of the principal investment and a return 
in the case that: (a) An Investor has covered part or all of the costs 
of service delivery and other associated costs, and (b) Outcome 
Measures have been achieved according to an Independent Evaluator.
    Preschool Pay for Success (Preschool PFS) Partnership includes a 
government entity that makes Outcomes Payments and an Independent 
Evaluator and may also include an Intermediary. A Preschool PFS 
Partnership may also include one or more preschool service providers 
and Investor(s).
    Rigorous Evaluation means an evaluation that will, if well 
implemented, produce evidence about the project's effectiveness that 
would meet the What Works Clearinghouse Evidence Standards without 
reservations or, when random assignment is not feasible, would meet 
What Works Clearinghouse Evidence Standards with reservations.
    State means each of the 50 States, the District of Columbia, and 
the Commonwealth of Puerto Rico.
    Target Population means, at a minimum, low-income and disadvantaged 
preschoolers who are three or four years of age at the time of 
enrollment, such as those at risk of failing to meet the State's 
academic content standards. The Target Population may include a more 
specific criteria.
    Tribal Government means the governing body or a governmental agency 
of any Indian tribe, band, nation, or other organized group or 
community (including any native village as defined in Section 3 of the 
Alaska Native Claims Settlement Act, 43 U.S.C. 1602(c)) certified by 
the Secretary of the Interior as eligible for the special programs and 
services provided through the Bureau of Indian Affairs.
    What Works Clearinghouse Evidence Standards means the standards set 
forth in the What Works Clearinghouse Procedures and Standards Handbook 
(Version 3.0, March 2014), which can be found at the following URL 
address: https://ies.ed.gov/ncee/wwc/DocumentSum.aspx?sid=19.
    Waiver of Proposed Rulemaking: Under the Administrative Procedure 
Act (5 U.S.C. 553) the Department generally offers interested parties 
the opportunity to comment on proposed priorities, requirements, 
definitions, and selection criteria. Section 437(d)(1) of GEPA, 
however, allows the Secretary to exempt from rulemaking requirements, 
regulations governing the first grant competition under a new or 
substantially revised program authority. This is the first grant 
competition for this program under the Preschool Development Grant 
national activities authorized by the Consolidated Appropriations Act, 
2016, Title III, Division H (Pub. L. 114-113) and therefore qualifies 
for this exemption. In order to ensure timely grant awards, the 
Secretary has decided to forego public comment on the priorities, 
requirements, definitions, and selection criteria under section 
437(d)(1) of GEPA. These priorities, requirements, definitions, and 
selection criteria will apply to the FY 2016 grant competition only.
    Program Authority: Part D of Title V of the Elementary and 
Secondary Education Act of 1965, as amended by the No Child Left Behind 
Act of 2001 (ESEA), and Title III of Division H of The Consolidated 
Appropriations Act, 2016 (Pub. L. 114-113).
    Applicable Regulations: (a) The Education Department General 
Administrative Regulations (EDGAR) in 34 CFR parts 75, 77, 79, 81, 82, 
84, 86, 97, 98, and 99. (b) The OMB Guidelines to Agencies on 
Governmentwide Debarment and Suspension (Nonprocurement) in 2 CFR part 
180, as adopted and amended as regulations of the Department of 
Education in 2 CFR part 3485. (c) The Uniform Administrative 
Requirements, Cost Principles, and Audit Requirements for Federal 
Awards in 2 CFR part 200, as adopted and amended as regulations of the 
Department of Education in 2 CFR part 3474.

    Note: The regulations in 34 CFR part 79 apply to all applicants 
except federally recognized Indian tribes.

II. Award Information

    Type of Award: Discretionary grants.
    Estimated Available Funds: $2,800,000.

[[Page 56622]]

    Estimated Range of Awards: $200,000-$400,000.
    Maximum Award: We will reject any application that proposes a 
budget exceeding $400,000 for a single budget period of up to 30 
months.

    Note: In their budget narratives, applicants must identify which 
costs will be funded by the Preschool PFS Feasibility Pilot grant 
and identify any other sources of funds to support project 
activities. If an applicant plans to have a contractor conduct the 
Feasibility Study, the applicant must identify the percentage of the 
Federal dollars from this grant competition the applicant would 
retain for administrative costs, and the percentage of funds the 
contractor would retain for its administrative costs.

    Estimated Number of Awards: 7-14.

    Note: The Department is not bound by any estimates in this 
notice. The Department will determine the number of awards to be 
made based on the quality of applications received consistent with 
the selection criteria. The Department will also determine the size 
of an award made to an eligible applicant based on a review of the 
eligible applicant's budget.

    Project Period: Up to 30 months.

III. Eligibility Information

    1. Eligible Applicants: An applicant must be a State, Local 
Government, or Tribal Government.
    2. Cost Sharing or Matching: This competition does not require cost 
sharing or matching.

IV. Application and Submission Information

    1. Address to Request Application Package: You can obtain an 
application package via the Internet or from the Education Publications 
Center (ED Pubs).
    To obtain a copy via the Internet, use the following address: 
https://www2.ed.gov/programs/preschooldevelopmentgrants/.
    To obtain a copy from ED Pubs, write, fax, or call: ED Pubs, U.S. 
Department of Education, P.O. Box 22207, Alexandria, VA 22304. 
Telephone, toll free: 1-877-433-7827. FAX: (703) 605-6794. If you use a 
telecommunications device for the deaf (TDD) or a text telephone (TTY), 
call, toll free: 1-877-576-7734.
    You can contact ED Pubs at its Web site, also: www.EDPubs.gov or at 
its email address: edpubs@inet.ed.gov.
    If you request an application package from ED Pubs, be sure to 
identify this program or competition as follows: CFDA number 84.419C.
    Individuals with disabilities can obtain a copy of the application 
package in an accessible format (e.g., braille, large print, audiotape, 
or compact disc) by contacting the person listed under Accessible 
Format in section VIII of this notice.
    2.a. Content and Form of Application Submission: Requirements 
concerning the content of an application, together with the forms you 
must submit, are in the application package for this program.
    b. Submission of Proprietary Information: Given the types of 
projects that may be proposed in applications for the Preschool PFS 
Feasibility Pilot, your application may include business information 
that you consider proprietary. In 34 CFR 5.11 we define ``business 
information'' and describe the process we use in determining whether 
any of that information is proprietary and, thus, protected from 
disclosure under Exemption 4 of the Freedom of Information Act (5 
U.S.C. 552, as amended). Applicants may wish to request confidentiality 
of business information as we plan to make successful applications 
available to the public on our Preschool PFS Feasibility Pilot Web 
site.
    Consistent with Executive Order 12600, please designate in your 
application any information that you believe is exempt from disclosure 
under Exemption 4. In the appropriate Appendix section of your 
application, under ``Other Attachments Form,'' please list the page 
number or numbers on which we can find this information. For additional 
information please see 34 CFR 5.11(c).
    3. Submission Dates and Times:
    Applications Available: August 22, 2016.
    Deadline for Notice of Intent to Apply: September 12, 2016.
    Deadline for Transmittal of Applications: October 6, 2016.
    Applications for grants under this program must be submitted 
electronically using the Grants.gov site (Grants.gov). For information 
(including dates and times) about how to submit your application 
electronically, or in paper format by mail or hand delivery if you 
qualify for an exception to the electronic submission requirement, 
please refer to Other Submission Requirements in section IV of this 
notice.
    We do not consider an application that does not comply with the 
deadline requirements.
    Individuals with disabilities who need an accommodation or 
auxiliary aid in connection with the application process should contact 
the person listed under FOR FURTHER INFORMATION CONTACT in section VII 
of this notice. If the Department provides an accommodation or 
auxiliary aid to an individual with a disability in connection with the 
application process, the individual's application remains subject to 
all other requirements and limitations in this notice.
    4. Intergovernmental Review: This program is subject to Executive 
Order 12372 and the regulations in 34 CFR part 79. However, under 34 
CFR 79.8(a), we waive intergovernmental review in order to make awards 
before the funding lapses.
    5. Funding Restrictions: We reference regulations outlining funding 
restrictions in the Applicable Regulations section of this notice.
    6. Data Universal Numbering System Number, Taxpayer Identification 
Number, and System for Award Management: To do business with the 
Department of Education, you must--
    a. Have a Data Universal Numbering System (DUNS) number and a 
Taxpayer Identification Number (TIN);
    b. Register both your DUNS number and TIN with the System for Award 
Management (SAM) (formerly the Central Contractor Registry), the 
Government's primary registrant database;
    c. Provide your DUNS number and TIN on your application; and
    d. Maintain an active SAM registration with current information 
while your application is under review by the Department and, if you 
are awarded a grant, during the project period.
    You can obtain a DUNS number from Dun and Bradstreet at the 
following Web site: https://fedgov.dnb.com/webform. A DUNS number can be 
created within one to two business days.
    If you are a corporate entity, agency, institution, or 
organization, you can obtain a TIN from the Internal Revenue Service. 
If you are an individual, you can obtain a TIN from the Internal 
Revenue Service or the Social Security Administration. If you need a 
new TIN, please allow two to five weeks for your TIN to become active.
    The SAM registration process can take approximately seven business 
days, but may take upwards of several weeks, depending on the 
completeness and accuracy of the data you enter into the SAM database. 
Thus, if you think you might want to apply for Federal financial 
assistance under a program administered by the Department, please allow 
sufficient time to obtain and register your DUNS number and TIN. We 
strongly recommend that you register early.

    Note: Once your SAM registration is active, it may be 24 to 48 
hours before you can

[[Page 56623]]

access the information in, and submit an application through, 
Grants.gov.

    If you are currently registered with SAM, you may not need to make 
any changes. However, please make certain that the TIN associated with 
your DUNS number is correct. Also note that you will need to update 
your registration annually. This may take three or more business days.
    Information about SAM is available at www.SAM.gov. To further 
assist you with obtaining and registering your DUNS number and TIN in 
SAM or updating your existing SAM account, we have prepared a SAM.gov 
Tip Sheet, which you can find at: https://www2.ed.gov/fund/grant/apply/sam-faqs.html.
    In addition, if you are submitting your application via Grants.gov, 
you must (1) be designated by your organization as an Authorized 
Organization Representative (AOR); and (2) register yourself with 
Grants.gov as an AOR. Details on these steps are outlined at the 
following Grants.gov Web page: www.grants.gov/web/grants/register.html.
    7. Other Submission Requirements: Applications for grants under 
this program must be submitted electronically unless you qualify for an 
exception to this requirement in accordance with the instructions in 
this section.

a. Electronic Submission of Applications

    Applications for grants under the Preschool PFS Feasibility Pilot, 
CFDA number 84.419C, must be submitted electronically using the 
Governmentwide Grants.gov Apply site at www.Grants.gov. Through this 
site, you will be able to download a copy of the application package, 
complete it offline, and then upload and submit your application. You 
may not email an electronic copy of a grant application to us.
    We will reject your application if you submit it in paper format 
unless, as described elsewhere in this section, you qualify for one of 
the exceptions to the electronic submission requirement and submit, no 
later than two weeks before the application deadline date, a written 
statement to the Department that you qualify for one of these 
exceptions. Further information regarding calculation of the date that 
is two weeks before the application deadline date is provided later in 
this section under Exception to Electronic Submission Requirement.
    You may access the electronic grant application for Preschool PFS 
Feasibility Pilot at www.Grants.gov. You must search for the 
downloadable application package for this program by the CFDA number. 
Do not include the CFDA number's alpha suffix in your search (e.g., 
search for 84.419, not 84.419C).
    Please note the following:
     When you enter the Grants.gov site, you will find 
information about submitting an application electronically through the 
site, as well as the hours of operation.
     Applications received by Grants.gov are date and time 
stamped. Your application must be fully uploaded and submitted and must 
be date and time stamped by the Grants.gov system no later than 4:30:00 
p.m., Washington, DC time, on the application deadline date. Except as 
otherwise noted in this section, we will not accept your application if 
it is received--that is, date and time stamped by the Grants.gov 
system--after 4:30:00 p.m., Washington, DC time, on the application 
deadline date. We do not consider an application that does not comply 
with the deadline requirements. When we retrieve your application from 
Grants.gov, we will notify you if we are rejecting your application 
because it was date and time stamped by the Grants.gov system after 
4:30:00 p.m., Washington, DC time, on the application deadline date.
     The amount of time it can take to upload an application 
will vary depending on a variety of factors, including the size of the 
application and the speed of your Internet connection. Therefore, we 
strongly recommend that you do not wait until the application deadline 
date to begin the submission process through Grants.gov.
     You should review and follow the Education Submission 
Procedures for submitting an application through Grants.gov that are 
included in the application package for this program to ensure that you 
submit your application in a timely manner to the Grants.gov system. 
You can also find the Education Submission Procedures pertaining to 
Grants.gov under News and Events on the Department of Education's G5 
system home page at www.G5.gov. In addition, for specific guidance and 
procedures for submitting an application through Grants.gov, please 
refer to the Grants.gov Web site at: www.grants.gov/web/grants/applicants/apply-for-grants.html.
     You will not receive additional point value because you 
submit your application in electronic format, nor will we penalize you 
if you qualify for an exception to the electronic submission 
requirement, as described elsewhere in this section, and submit your 
application in paper format.
     You must submit all documents electronically, including 
all information you typically provide on the following forms: The 
Application for Federal Assistance (SF 424), the Department of 
Education Supplemental Information for SF 424, Budget Information--Non-
Construction Programs (ED 524), and all necessary assurances and 
certifications.
     You must upload any narrative sections and all other 
attachments to your application as files in a read-only Portable 
Document Format (PDF). Do not upload an interactive or fillable PDF 
file. If you upload a file type other than a read-only PDF (e.g., Word, 
Excel, WordPerfect, etc.) or submit a password-protected file, we will 
not review that material. Please note that this could result in your 
application not being considered for funding because the material in 
question--for example, the project narrative--is critical to a 
meaningful review of your proposal. For that reason it is important to 
allow yourself adequate time to upload all material as PDF files. The 
Department will not convert material from other formats to PDF.
     Your electronic application must comply with any page-
limit requirements described in this notice.
     After you electronically submit your application, you will 
receive from Grants.gov an automatic notification of receipt that 
contains a Grants.gov tracking number. This notification indicates 
receipt by Grants.gov only, not receipt by the Department. Grants.gov 
will also notify you automatically by email if your application met all 
the Grants.gov validation requirements or if there were any errors 
(such as submission of your application by someone other than a 
registered Authorized Organization Representative, or inclusion of an 
attachment with a file name that contains special characters). Once 
your application is successfully validated by Grants.gov, the 
Department will retrieve your application from Grants.gov and send you 
an email with a unique PR/Award number for your application.
    These emails do not mean that your application is without any 
disqualifying errors. While your application may have been successfully 
validated by Grants.gov, it must also meet the Department's application 
requirements as specified in this notice and in the application 
instructions. Disqualifying errors could include, for instance, failure 
to upload attachments in a read-only PDF; failure to submit a required 
part of the application; or failure to meet applicant eligibility 
requirements. It is your responsibility to ensure that your

[[Page 56624]]

submitted application has met all of the Department's requirements.
     We may request that you provide us original signatures on 
forms at a later date.
    Application Deadline Date Extension in Case of Technical Issues 
With the Grants.gov System: If you are experiencing problems submitting 
your application through Grants.gov, please contact the Grants.gov 
Support Desk, toll free, at 1-800-518-4726. You must obtain a 
Grants.gov Support Desk Case Number and must keep a record of it.
    If you are prevented from electronically submitting your 
application on the application deadline date because of technical 
problems with the Grants.gov system, we will grant you an extension 
until 4:30:00 p.m., Washington, DC time, the following business day to 
enable you to transmit your application electronically or by hand 
delivery. You also may mail your application by following the mailing 
instructions described elsewhere in this notice.
    If you submit an application after 4:30:00 p.m., Washington, DC 
time, on the application deadline date, please contact the person 
listed under For Further Information Contact in section VII of this 
notice and provide an explanation of the technical problem you 
experienced with Grants.gov, along with the Grants.gov Support Desk 
Case Number. We will accept your application if we can confirm that a 
technical problem occurred with the Grants.gov system and that the 
problem affected your ability to submit your application by 4:30:00 
p.m., Washington, DC time, on the application deadline date. We will 
contact you after we determine whether your application will be 
accepted.

    Note:  The extensions to which we refer in this section apply 
only to the unavailability of, or technical problems with, the 
Grants.gov system. We will not grant you an extension if you failed 
to fully register to submit your application to Grants.gov before 
the application deadline date and time or if the technical problem 
you experienced is unrelated to the Grants.gov system.

    Exception to Electronic Submission Requirement: You qualify for an 
exception to the electronic submission requirement, and may submit your 
application in paper format, if:
    You are unable to submit an application through the Grants.gov 
system because you do not have access to the Internet or because you do 
not have the capacity to upload large documents to the Grants.gov 
system; and no later than two weeks before the application deadline 
date (14 calendar days or, if the fourteenth calendar day before the 
application deadline date falls on a Federal holiday, the next business 
day following the Federal holiday), you mail or fax a written statement 
to the Department, explaining which of the two grounds for an exception 
prevents you from using the Internet to submit your application. If you 
mail your written statement to the Department, it must be postmarked no 
later than two weeks before the application deadline date. If you fax 
your written statement to the Department, we must receive the faxed 
statement no later than two weeks before the application deadline date.
    Address and mail or fax your statement to: Miriam Lund, U.S. 
Department of Education, 400 Maryland Avenue SW., Room 3E334, 
Washington, 20202-6200. FAX: (202)
    Your paper application must be submitted in accordance with the 
mail or hand-delivery instructions described in this notice.

b. Submission of Paper Applications by Mail

    If you qualify for an exception to the electronic submission 
requirement, you may mail (through the U.S. Postal Service or a 
commercial carrier) your application to the Department. You must mail 
the original and two copies of your application, on or before the 
application deadline date, to the Department at the following address: 
U.S. Department of Education, Application Control Center, Attention: 
(CFDA Number 84.419C), LBJ Basement Level 1, 400 Maryland Avenue SW., 
Washington, DC 20202-4260.
    You must show proof of mailing consisting of one of the following:
    (1) A legibly dated U.S. Postal Service postmark.
    (2) A legible mail receipt with the date of mailing stamped by the 
U.S. Postal Service.
    (3) A dated shipping label, invoice, or receipt from a commercial 
carrier.
    (4) Any other proof of mailing acceptable to the Secretary of the 
U.S. Department of Education.
    If you mail your application through the U.S. Postal Service, we do 
not accept either of the following as proof of mailing:
    (1) A private metered postmark.
    (2) A mail receipt that is not dated by the U.S. Postal Service.

    Note:  The U.S. Postal Service does not uniformly provide a 
dated postmark. Before relying on this method, you should check with 
your local post office.

    We will not consider applications postmarked after the application 
deadline date.

c. Submission of Paper Applications by Hand Delivery

    If you qualify for an exception to the electronic submission 
requirement, you (or a courier service) may deliver your paper 
application to the Department by hand. You must deliver the original 
and two copies of your application by hand, on or before the 
application deadline date, to the Department at the following address: 
U.S. Department of Education, Application Control Center, Attention: 
(CFDA Number 84.419C), 550 12th Street SW., Room 7039, Potomac Center 
Plaza, Washington, DC 20202-4260.
    The Application Control Center accepts hand deliveries daily 
between 8:00 a.m. and 4:30:00 p.m., Washington, DC time, except 
Saturdays, Sundays, and Federal holidays.
    Note for Mail or Hand Delivery of Paper Applications: If you mail 
or hand deliver your application to the Department--
    (1) You must indicate on the envelope and--if not provided by the 
Department--in Item 11 of the SF 424 the CFDA number, including suffix 
letter, if any, of the competition under which you are submitting your 
application; and
    (2) The Application Control Center will mail to you a notification 
of receipt of your grant application. If you do not receive this 
notification within 15 business days from the application deadline 
date, you should call the U.S. Department of Education Application 
Control Center at (202) 245-6288.

V. Application Review Information

    1. Selection Criteria: We are establishing the following selection 
criteria for the FY 2016 grant competition only, in accordance with 
section 437(d)(1) of GEPA, 20 U.S.C. 1232(d)(1). Eligible applicants 
may receive up to 100 points based on the extent to which their 
applications address the selection criteria. The number of points that 
may be awarded for each criterion is indicated in parentheses next to 
the criterion.
    (a) Need for Project. (up to 10 points). The Secretary will 
consider the needs of the Target Population. In determining the need 
for the proposed project, the Secretary will consider the magnitude of 
the need of the Target Population for the services to be provided by a 
potential PFS project. Applicants should clearly state and demonstrate 
the extent of the problem facing the Target Population using data and 
other relevant information.
    (b) Quality of the Preschool Program Design. (up to 25 points). The 
Secretary will consider the quality of the design

[[Page 56625]]

of the proposed preschool program. In determining the quality of the 
design of the proposed preschool program, the Secretary will consider 
the extent to which the intervention strategy is likely to improve 
student outcomes for the Target Population, based on quantitative, 
qualitative, or theoretical evidence, including the extent to which the 
goals, objectives, and outcomes to be achieved by the proposed project 
are clearly specified and measurable and will demonstrate student 
success. In responding to this criterion, applicants should identify 
clearly specified and measurable outcomes for the preschool program and 
explain how these outcomes can be achieved by the program. While these 
outcomes will inform the selection of Outcome Measures for the PFS 
project, they do not limit a grantee from evaluating additional Outcome 
Measures in the course of completing the Preschool PFS Feasibility 
Study.
    (c) Quality of the Preschool PFS Partnership. (up to 25 points). 
The Secretary will consider the quality of the Preschool PFS 
Partnership. In evaluating a Preschool PFS Partnership, the Secretary 
will consider the following:
    (1) (up to 15 points). The quality of an existing Preschool PFS 
Partnership, including the history of the collaboration, or, if a 
Preschool PFS Partnership does not exist, the quality of the plan to 
form a Preschool PFS Partnership.
    (2) (up to 10 points). The extent to which the roles and 
responsibilities of members or proposed members of a Preschool PFS 
Partnership are clearly described and are appropriate and sufficient to 
successfully implement a PFS project.
    (d) Quality of the Work Plan. (up to 25 points). The Secretary will 
consider the quality of the work plan. In determining the quality of 
the work plan, the Secretary will consider the following factors:
    (1) (up to 12 points). The adequacy of the work plan to achieve the 
objectives of the proposed Feasibility Study project on time and within 
budget, including clearly defined responsibilities, timelines, and 
milestones for accomplishing project tasks on time. Applicants should 
identify whether a contractor will conduct the Feasibility Study and, 
if appropriate, the extent to which the timeline for selecting and 
hiring the contractor is reasonable and sufficient for completing the 
project on time and within budget.
    (2) (up to 10 points). The adequacy of procedures for ensuring 
stakeholder feedback in the operation of the proposed Preschool PFS 
Feasibility Pilot. If the Feasibility Study includes the reduction in 
special education placement as a Financial Benefit, the extent to which 
the work plan includes outreach to and involvement of the 
representatives from the State and local special education community or 
individuals with special education expertise, including groups 
representing families.
    (3) (up to 3 points). The extent to which the time commitments of 
the project director and team and other key project personnel are 
appropriate and adequate to meet the objectives of the proposed 
project.
    (e) Quality of the Project Leadership and Team. (up to 5 points). 
The Secretary will consider the quality of the project leadership and 
team. The Secretary will consider the extent to which the applicant has 
the project and financial management experience necessary to manage the 
Preschool PFS Feasibility Pilot, including:
    (1) (up to 3 points). Managing and overseeing similar projects 
(e.g., PFS or other project related work, experience with early 
childhood education) with specific examples of prior accomplishments 
and outcomes; and
    (2) (up to 2 points). Managing Federal grants, including plans for 
ensuring compliance with Federal guidelines.
    (f) Adequacy of Resources. (up to 10 points). The Secretary will 
consider the adequacy of resources necessary to complete the 
Feasibility Study, including any philanthropic or other resources that 
may be contributed toward the project. In determining the adequacy of 
resources, the Secretary will consider the extent to which the budget 
will adequately support program activities and achieve desired outputs 
and outcomes.
    2. Review and Selection Process: Each application will be 
separately screened to determine whether each application meets 
requirements, and will be separately reviewed and scored.
    We remind potential applicants that in reviewing applications in 
any discretionary grant competition, the Secretary may consider, under 
34 CFR 75.217(d)(3), the past performance of the applicant in carrying 
out a previous award, such as the applicant's use of funds, achievement 
of project objectives, and compliance with grant conditions. The 
Secretary may also consider whether the applicant failed to submit a 
timely performance report or submitted a report of unacceptable 
quality.
    In addition, in making a competitive grant award, the Secretary 
also requires various assurances, including those applicable to Federal 
civil rights laws that prohibit discrimination in programs or 
activities receiving Federal financial assistance from the Department 
of Education (34 CFR 100.4, 104.5, 106.4, 108.8, and 110.23).
    3. Risk Assessment and Special Conditions: Consistent with 2 CFR 
200.205, before awarding grants under this program the Department will 
conduct a review of the risks posed by applicants. Under 2 CFR 3474.10, 
the Secretary may impose special conditions and, in appropriate 
circumstances, high-risk conditions on a grant if the applicant or 
grantee is not financially stable; has a history of unsatisfactory 
performance; has a financial or other management system that does not 
meet the standards in 2 CFR part 200, subpart D; has not fulfilled the 
conditions of a prior grant; or is otherwise not responsible.

VI. Award Administration Information

    1. Award Notices: If your application is successful, we notify your 
U.S. Representative and U.S. Senators and send you a Grant Award 
Notification (GAN); or we may send you an email containing a link to 
access an electronic version of your GAN. We may notify you informally, 
also.
    If your application is not evaluated or not selected for funding, 
we notify you.
    2. Administrative and National Policy Requirements: We identify 
administrative and national policy requirements in the application 
package and reference these and other requirements in the Applicable 
Regulations section of this notice.
    We reference the regulations outlining the terms and conditions of 
an award in the Applicable Regulations section of this notice and 
include these and other specific conditions in the GAN. The GAN also 
incorporates your approved application as part of your binding 
commitments under the grant.
    3. Reporting: (a) If you apply for a grant under this competition, 
you must ensure that you have in place the necessary processes and 
systems to comply with the reporting requirements in 2 CFR part 170 
should you receive funding under the competition. This does not apply 
if you have an exception under 2 CFR 170.110(b).
    (b) At the end of your project period, you must submit a final 
performance report, including financial information, as directed by the 
Secretary. If you receive a multiyear award, you must submit annual 
performance reports that provide the most current performance and 
financial expenditure information as directed by the Secretary under 34

[[Page 56626]]

CFR 75.118. The Secretary may also require more frequent performance 
reports under 34 CFR 75.720(c). For specific requirements on reporting, 
please go to www.ed.gov/fund/grant/apply/appforms/appforms.html.
    4. Performance Measures: The Department has established the 
following Government Performance and Results Act of 1993 (GPRA) 
performance measures for the Preschool PFS Feasibility Pilot:
    1. Number and percentage of grantees that complete a Feasibility 
Study within the project period.
    2. Number and percentage of Feasibility Studies that conclude that 
PFS approaches for Preschool expansion or improvement are viable.
    3. Number and percentage of Feasibility Studies that identify 
feasible alternatives if PFS is not viable (e.g., alternative funding 
strategies and mechanisms such as pay for performance, identifying 
additional outcome measures).
    These measures constitute the Department's indicators of success 
for this program. Consequently, we advise an applicant for a grant 
under this program to give careful consideration to these measures in 
conceptualizing the approach and evaluation for its proposed project. 
Each grantee will be required to provide, in its annual performance and 
final reports, data about its progress in meeting these measures.

VII. Agency Contacts

FOR FURTHER INFORMATION CONTACT: Miriam Lund, U.S. Department of 
Education, 400 Maryland Avenue SW., Room 3E334, Washington, DC 20202-
6200. Telephone: (202) 401-2871 or by email: PFS@ed.gov; or Mary Moran, 
U.S. Department of Education, 400 Maryland Avenue SW., Room 3E342, 
Washington, DC 20202-6200. Telephone: (202) 260-0940 or by email: 
PFS@ed.gov.
    If you use a TDD or a TTY, call the FRS, toll free, at 1-800-877-
8339.

VIII. Other Information

    Accessible Format: Individuals with disabilities can obtain this 
document and a copy of the application package in an accessible format 
(e.g., braille, large print, audiotape, or compact disc) on request to 
the program contact person listed under FOR FURTHER INFORMATION CONTACT 
in section VII of this notice.
    Electronic Access to This Document: The official version of this 
document is the document published in the Federal Register. Free 
Internet access to the official edition of the Federal Register and the 
Code of Federal Regulations is available via the Federal Digital System 
at: www.gpo.gov/fdsys. At this site you can view this document, as well 
as all other documents of this Department published in the Federal 
Register, in text or PDF. To use PDF you must have Adobe Acrobat 
Reader, which is available free at the site.
    You may also access documents of the Department published in the 
Federal Register by using the article search feature at: 
www.federalregister.gov. Specifically, through the advanced search 
feature at this site, you can limit your search to documents published 
by the Department.

    Dated: August 17, 2016.
Ann Whalen,
Senior Advisor to the Secretary Delegated the Duties of Assistant 
Secretary for Elementary and Secondary Education.
[FR Doc. 2016-20021 Filed 8-19-16; 8:45 am]
 BILLING CODE 4000-01-P