Funding Opportunity Title: Revised Notice of Funds Availability (NOFA) Inviting Applications for the FY 2007 Funding Round of the Native American CDFI Assistance (NACA) Program, 58661-58670 [E6-16388]

Download as PDF Federal Register / Vol. 71, No. 192 / Wednesday, October 4, 2006 / Notices weekdays from 10 a.m. to 5 p.m. except Federal Holidays. Comments may be submitted electronically by logging onto the Docket Management System Web site at http://dms.dot.gov. Click on ‘‘Help’’ to obtain instructions for filing the document electronically. Comments may be faxed to 1–202–493–2251, or may be submitted to the Federal eRulemaking Portal: go to http:// www.regulations.gov. Follow the online instructions for submitting comments. The petition, supporting materials, and all comments received before the close of business on the closing date indicated below will be filed and will be considered. All comments and supporting materials received after the closing date will also be filed and will be considered to the extent possible. When the petition is granted or denied, notice of the decision will be published in the Federal Register pursuant to the authority indicated below. Comment closing date: November 3, 2006. Authority (49 U.S.C. 30118, 30120: Delegations of authority at CFR 1.50 and 501.8). Issued on: September 29, 2006. Daniel C. Smith, Associate Administrator for Enforcement. [FR Doc. E6–16404 Filed 10–3–06; 8:45 am] BILLING CODE 4910–59–P DEPARTMENT OF THE TREASURY Community Development Financial Institutions Fund Funding Opportunity Title: Revised Notice of Funds Availability (NOFA) Inviting Applications for the FY 2007 Funding Round of the Native American CDFI Assistance (NACA) Program Announcement Type: Initial announcement of funding opportunity. Catalog of Federal Domestic Assistance (CFDA) Number: 21.020. Applications for the FY 2007 Funding Round of the NACA Program must be received by 5 p.m. ET on January 30, 2007. EXECUTIVE SUMMARY: On December 21, 2005, the Community Development Financial Institutions Fund (the Fund) published a NOFA in the Federal Register (70 FR 75872) in connection with two consecutive funding rounds of the NACA Program: (i) The FY 2006 Funding Round and (ii) the FY 2007 Funding Round. Through this revised NOFA, the Fund announces revised dates for the FY 2007 Funding Round. Because the FY 2006 Funding Round is rwilkins on PROD1PC63 with NOTICES DATES: VerDate Aug<31>2005 14:45 Oct 03, 2006 Jkt 211001 now complete, this revised NOFA is being issued for the FY 2007 Funding Round only. Parties interested in the FY 2007 Funding Round should review and refer to this revised NOFA, disregarding the December 21, 2005 NOFA, as the FY 2007 Funding Round dates in the December 21, 2005 NOFA have been changed. I. Funding Opportunity Description A. Through the NACA Program, the Fund provides Financial Assistance (FA) awards to Community Development Financial Institutions (CDFIs) that have at least 50 percent of their activities directed toward serving Native American, Alaska Native and/or Native Hawaiian communities (Native CDFIs) in order to build their capacity to better address the community development and capital access needs of their Target Market(s) and to expand into new Investment Areas, Low-Income Targeted Populations, or Other Targeted Populations. Through the NACA Program, the Fund provides Technical Assistance (TA) grants to entities that propose to become Native CDFIs, and to Native organizations, Tribes and Tribal organizations (Sponsoring Entities) that propose to create Native CDFIs, in order to build their capacity to better address the community development and capital access needs of their Target Market(s), to expand into new Investment Areas, Low-Income Targeted Populations, or Other Targeted Populations, or to create Native CDFIs. B. The regulations governing the CDFI Program, found at 12 CFR part 1805 (the Interim Rule), provide relevant guidance on evaluation criteria and other requirements of the NACA Program. The Fund encourages Applicants to review the Interim Rule. Detailed application content requirements are found in the applicable funding application and related guidance materials. Each capitalized term in this NOFA is more fully defined in the Interim Rule, the application or the guidance materials. C. The Fund reserves the right to fund, in whole or in part, any, all, or none of the applications submitted in response to this NOFA. The Fund reserves the right to re-allocate funds from the amount that is anticipated to be available under this NOFA to other Fund programs, particularly if the Fund determines that the number of awards made under this NOFA is fewer than projected. PO 00000 Frm 00086 Fmt 4703 Sfmt 4703 58661 II. Award Information A. Funding Availability 1. FY 2007 Funding Round Through the FY 2007 Funding Round, and subject to funding availability, the Fund expects that it may award approximately $3.5 million in appropriated funds through the NACA Program. The Fund reserves the right to award in excess of $3.5 million in appropriated funds to Applicants in the FY 2007 Funding Round, provided that the funds are available and the Fund deems it appropriate. 2. Availability of Funds for the FY 2007 Funding Round Funds for the FY 2007 Funding Round have not yet been appropriated. If funds are not appropriated for the FY 2007 Funding Round, there will not be a FY 2007 Funding Round. Further, it is possible that if funds are appropriated for the FY 2007 Funding Round, the amount of such funds may be less than the amounts set forth above. B. Types of Awards An NACA Program Applicant may submit an application for: (i) An FA award; (ii) an FA award and a TA grant; or (iii) a TA grant. 1. FA Awards The Fund may provide FA awards in the form of equity investments (including, in the case of certain Insured Credit Unions, secondary capital accounts), grants, loans, deposits, credit union shares, or any combination thereof. The Fund reserves the right, in its sole discretion, to provide an FA award in a form and amount other than that which is requested by an Applicant. The Fund reserves the right, in its sole discretion, to provide an FA award on the condition that the Applicant agrees to use a TA grant for specified capacity building purposes, even if the Applicant has not requested a TA grant. 2. TA Grants (a) The Fund may provide TA awards in the form of grants. The Fund reserves the right, in its sole discretion, to provide a TA grant for uses and amounts other than and in addition to that which are requested by an Applicant. (b) TA grants may be used to address a variety of needs including, but not limited to, development of strategic planning documents (such as business, strategic or capitalization plans), market analyses or product feasibility analyses, operational policies and procedures, curricula for Development Services (such as entrepreneurial training, home E:\FR\FM\04OCN1.SGM 04OCN1 58662 Federal Register / Vol. 71, No. 192 / Wednesday, October 4, 2006 / Notices buyer education, financial education or training, borrower credit repair training), improvement of underwriting and portfolio management, development of outreach and training strategies to enhance product delivery, operating support to expand into a new Target Market, and tools that allow the Applicant to assess the impact of its activities in its community. Each Applicant for a TA grant through this NOFA is required to provide information in the application regarding the expected cost, timing and provider of the TA, and a narrative description of how the TA grant will enhance its capacity to provide greater community development impact, to become certified as a Native CDFI, or to create a Native CDFI, if applicable. (c) Eligible TA grant uses include, but are not limited to: (i) Acquiring consulting services; (ii) acquiring/ enhancing technology items, including computer hardware, software and Internet connectivity; (iii) acquiring training for staff, management and/or board members; and (iv) paying recurring expenses, including staff salary and other key operating expenses, that will enhance the capacity of the Applicant to serve its Target Market, and/or to become certified as a Native CDFI or to create a Native CDFI. C. Notice of Award; Assistance Agreement Each Awardee under this NOFA must sign a Notice of Award and an Assistance Agreement in order to receive a disbursement of award proceeds by the Fund. The Notice of Award and the Assistance Agreement contain the terms and conditions of the award. For further information, see Sections VI.A and VI.B of this NOFA. III. Eligibility Information A. Eligible Applicants The Interim Rule specifies the eligibility requirements that each Applicant must meet in order to be eligible to apply for assistance under this NOFA. The following sets forth additional detail and dates that relate to the submission of applications under this NOFA: rwilkins on PROD1PC63 with NOTICES 1. CDFI Certification Requirements For purposes of this NOFA, any Applicant that is a Certified Native CDFI or a Certifiable Native CDFI may apply for a FA award or a FA award and a TA grant. An Applicant that is an Emerging Native CDFI or a Sponsoring Entity may apply for a TA grant only. (a) Certified Native CDFIs: For purposes of this NOFA, a Certified VerDate Aug<31>2005 14:45 Oct 03, 2006 Jkt 211001 Native CDFI is a Certified CDFI that primarily serves (meaning, at least 50 percent of its activities are directed toward serving) a Native Community and whose certification has not expired and that has not been notified by the Fund that its certification has been terminated. Each such Applicant must include a ‘‘Certification of Material Event Form’’ with its NACA application by the application deadline, in accordance with the instructions on the Fund’s Web site at http:// www.cdfifund.gov. Please Note: The Fund provided a number of CDFIs with certifications expiring in 2003 through 2005 written notification that their certifications had been extended. The Fund will consider the extended certification date (the later date) to determine whether those CDFIs meet this eligibility requirement. (b) Certifiable Native CDFIs: For purposes of this NOFA, a Certifiable Native CDFI is an entity that primarily serves (meaning, at least 50 percent of its activities are directed toward serving) a Native Community and from which the Fund receives a complete CDFI Certification Application by the applicable deadline of the NACA Program application, evidencing that the Applicant meets all requirements to be certified as a CDFI. Applicants may obtain the CDFI Certification Application through the Fund’s Web site at http://www.cdfifund.gov. Applications for certification must be submitted as instructed in the application form. FA Applicants that are Certifiable Native CDFIs please note: while your organization may be conditionally selected for funding (as evidenced through the Notice of Award), the Fund will not enter into an Assistance Agreement or disburse FA award funds unless and until the Fund has certified your organization as a CDFI. If the Fund is unable to certify your organization as a CDFI based on the CDFI certification application that your organization submits to the Fund, the Notice of Award may be terminated and the award commitment may be cancelled, in the sole discretion of the Fund. (c) Emerging Native CDFIs: For purposes of this NOFA, an Emerging Native CDFI is an entity that primarily serves (meaning, at least 50 percent of its activities are directed toward serving) a Native Community and that demonstrates to the satisfaction of the Fund that it has a reasonable plan to achieve CDFI certification within a reasonable timeframe. Emerging CDFIs may only apply for TA grants; they are not eligible to apply for FA awards. Each Emerging CDFI that is selected to PO 00000 Frm 00087 Fmt 4703 Sfmt 4703 receive a TA grant will be required, pursuant to its Assistance Agreement with the Fund, to work toward CDFI certification by a date certain. (d) Sponsoring Entities: For purposes of this NOFA, a Sponsoring Entity is an entity that proposes to create a separate legal entity that will become certified as a CDFI. For purposes of this NOFA, Sponsoring Entities include: (a) A Tribe, Tribal entity, Alaska Native Village, Village Corporation, Regional Corporation, Non-Profit Regional Corporation/Association, or Inter-Tribal or Inter-Village organization; (b) an organization whose primary mission is to serve a Native Community including, but not limited to an Urban Indian Center, Tribally Controlled Community College, community development corporation (CDC), training or educational organization, or Chamber of Commerce, and that primarily serves (meaning, at least 50 percent of its activities are directed toward serving) a Native Community. Sponsoring Entities may only apply for TA grants; they are not eligible to apply for FA awards. Each Sponsoring Entity that is selected to receive a TA grant will be required, pursuant to its Assistance Agreement with the Fund, to create a legal entity by a date certain that will, in turn, seek CDFI certification. B. Prior Awardees Applicants must be aware that success in a prior round of any of the Fund’s programs is not indicative of success under this NOFA. Prior awardees are eligible to apply under this NOFA, except as follows: 1. $5 Million Funding Cap: The Fund is generally prohibited from obligating more than $5 million in assistance, in the aggregate, to any one organization and its Subsidiaries and Affiliates during any three-year period. For the purposes of this NOFA, the period extends back three years from the date that the Fund signs a Notice of Award issued to an Awardee under this NOFA. 2. Failure to meet reporting requirements: The Fund will not consider an application submitted by an Applicant if the Applicant, or an entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the applicant (as determined by the Fund) is a prior Fund Awardee or allocatee under any Fund program and is not current on the reporting requirements set forth in a previously executed assistance, allocation or award agreement(s) as of the applicable application deadline of this NOFA. Please note that the Fund only acknowledges the receipt of reports that E:\FR\FM\04OCN1.SGM 04OCN1 rwilkins on PROD1PC63 with NOTICES Federal Register / Vol. 71, No. 192 / Wednesday, October 4, 2006 / Notices are complete. As such, incomplete reports or reports that are deficient of required elements will not be recognized as having been received. 3. Pending resolution of noncompliance: If an Applicant is a prior Awardee or allocatee under any Fund program and if: (i) It has submitted complete and timely reports to the Fund that demonstrate noncompliance with a previous assistance, allocation or award agreement; and (ii) the Fund has yet to make a final determination as to whether the entity is in default of its previous assistance, allocation or award agreement, the Fund will consider the Applicant’s application under this NOFA pending full resolution, in the sole determination of the Fund, of the noncompliance. Further, if another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund), is a prior Fund Awardee or allocatee and if such entity: (i) Has submitted complete and timely reports to the Fund that demonstrate noncompliance with a previous assistance, allocation or award agreement; and (ii) the Fund has yet to make a final determination as to whether the entity is in default of its previous assistance, allocation, or award agreement, the Fund will consider the Applicant’s application under this NOFA pending full resolution, in the sole determination of the Fund, of the noncompliance. 4. Default status: The Fund will not consider an application submitted by an Applicant that is a prior Fund Awardee or allocatee under any Fund program if, as of the applicable application deadline of this NOFA, the Fund has made a final determination that such Applicant is in default of a previously executed assistance, allocation or award agreement(s). Further, an entity is not eligible to apply for an award pursuant to this NOFA if, as of the applicable application deadline of this NOFA, the Fund has made a final determination that another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund): (i) Is a prior Fund Awardee or allocatee under any Fund program; and (ii) has been determined by the Fund to be in default of a previously executed assistance, allocation or award agreement(s). 5. Termination in default: The Fund will not consider an application submitted by an Applicant that is a prior Fund Awardee or allocatee under any Fund program if: (i) The Fund has VerDate Aug<31>2005 14:45 Oct 03, 2006 Jkt 211001 made a final determination that such Applicant’s prior award or allocation terminated in default of a previously executed assistance, allocation or award agreement(s); and (ii) the final reporting period end date for the applicable terminated assistance, allocation or award agreement(s) falls in Calendar Year 2006. Further, an entity is not eligible to apply for an award pursuant to this NOFA if: (i) The Fund has made a final determination that another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund), is a prior Fund Awardee or allocatee under any Fund program whose award or allocation terminated in default of a previously executed assistance, allocation or award agreement(s); and (ii) the final reporting period end date for the applicable terminated assistance, allocation or award agreement(s) falls in Calendar Year 2006. 6. Undisbursed balances: The Fund will not consider an application submitted by an Applicant that is a prior Fund Awardee under any Fund program if the Applicant has a balance of undisbursed funds (defined below) under said prior award(s), as of the applicable application deadline of this NOFA. Further, an entity is not eligible to apply for an award pursuant to this NOFA if another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund), is a prior Fund Awardee under any Fund program, and has a balance of undisbursed funds under said prior award(s), as of the applicable application deadline of this NOFA. In a case where another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund), is a prior Fund Awardee under any Fund program, and has a balance of undisbursed funds under said prior award(s), as of the applicable application deadline of this NOFA, the Fund will include the combined awards of the Applicant and such Affiliated entities when calculating the amount of undisbursed funds. For purposes of this section, ‘‘undisbursed funds’’ is defined as: (i) In the case of a prior Bank Enterprise Award (BEA) Program award(s), any balance of award funds equal to or greater than five (5) percent of the total prior BEA Program award(s) that remains undisbursed more than three (3) years after the end of the calendar year in which the Fund signed PO 00000 Frm 00088 Fmt 4703 Sfmt 4703 58663 an award agreement with the Awardee; and (ii) in the case of a prior CDFI Program or other Fund program award(s), any balance of award funds equal to or greater than five (5) percent of the total prior award(s) that remains undisbursed more than two (2) years after the end of the calendar year in which the Fund signed an assistance agreement with the Awardee. ‘‘Undisbursed funds’’ does not include (i) tax credit allocation authority made available through the New Market Tax Credit (NMTC) Program; (ii) any award funds for which the Fund received a full and complete disbursement request from the Awardee by the applicable application deadline of this NOFA; (iii) any award funds for an award that has been terminated, expired, rescinded or deobligated by the Fund; or (iv) any award funds for an award that does not have a fully executed assistance or award agreement. The Fund strongly encourages Applicants requesting disbursements of ‘‘undisbursed funds’’ from prior awards to provide the Fund with a complete disbursement request at least 10 business days prior to the applicable application deadline of this NOFA. 7. Exception for Applicants Impacted by Hurricanes Katrina and/or Rita: Please note that the provisions of paragraphs 2 (Failure to meet reporting requirements) and 6 (Undisbursed balances) of this section do not apply to any Applicant that has an office located in, or that provides a significant volume of services or financing to residents of or businesses located in, a county that is within a ‘‘major disaster area’’ as declared by the Federal Emergency Management Agency (FEMA) as a result of Hurricanes Katrina and/or Rita. Said requirements are waived for those Applicants under this NOFA. 8. Contact the Fund: Accordingly, Applicants that are prior Awardees are advised to: (i) Comply with requirements specified in assistance, allocation and/or award agreement(s), and (ii) contact the Fund to ensure that all necessary actions are underway for the disbursement or de-obligation of any outstanding balance of said prior award(s). All outstanding reports, disbursement or compliance questions should be directed to the Grants Manager by e-mail at grantsmanagement@cdfi.treas.gov; by telephone at (202) 622–8226; by facsimile at (202) 622–6453; or by mail to CDFI Fund, 601 13th Street, NW., Suite 200 South, Washington, DC 20005. The Fund will respond to Applicants’ reporting, disbursement or compliance questions between the hours of 9 a.m. and 5 p.m. ET, starting the date of the E:\FR\FM\04OCN1.SGM 04OCN1 58664 Federal Register / Vol. 71, No. 192 / Wednesday, October 4, 2006 / Notices rwilkins on PROD1PC63 with NOTICES publication of this NOFA through January 26, 2007 (two business days before the application deadline). The Fund will not respond to Applicants’ reporting, disbursement or compliance phone calls or e-mail inquiries that are received after 5 p.m. on said date, until after the funding application deadline. 9. Limitation on Awards: An Applicant may receive only one award through either the CDFI Program or the NACA Program in the same funding year. An Applicant may apply under both the CDFI Program and the NACA Program but will not be selected for funding under both. A NACA Program Applicant, its Subsidiaries or Affiliates also may apply for and receive: (i) A tax credit allocation through the NMTC Program but only to the extent that the activities approved for CDFI Program awards are different from those activities for which the Applicant receives an NMTC Program allocation; and (ii) an award through the BEA Program (subject to certain limitations; refer to the Interim Rule at 12 CFR 1805.102). C. Matching Funds 1. Matching Funds Requirements in General: Applicants responding to this NOFA must obtain non-Federal matching funds from sources other than the Federal government on the basis of not less than one dollar for each dollar of FA funds provided by the Fund (matching funds are not required for TA grants). Matching funds must be at least comparable in form and value to the FA award provided by the Fund (for example, if an Applicant is requesting an FA grant from the Fund, the Applicant must have evidence that it has obtained matching funds through grant(s) from non-Federal sources that are at least equal to the amount requested from the Fund). Funds used by an Applicant as matching funds for a prior FA award under the CDFI Program or under another Federal grant or award program cannot be used to satisfy the matching funds requirement of this NOFA. If an Applicant seeks to use as matching funds monies received from an organization that was a prior Awardee under the CDFI Program, the Fund will deem such funds to be Federal funds, unless the funding entity establishes to the reasonable satisfaction of the Fund that such funds do not consist, in whole or in part, of CDFI Program funds or other Federal funds. For the purposes of this NOFA, BEA Program awards are not deemed to be Federal funds and are eligible as matching funds. The Fund encourages Applicants to review the Interim Rule at 12 CFR 1805.500 et seq. and matching VerDate Aug<31>2005 14:45 Oct 03, 2006 Jkt 211001 funds guidance materials on the Fund’s Web site for further information. 2. Matching Funds Requirements for the FY 2007 Funding Round: Due to funding constraints and the desire to quickly deploy Fund dollars, the Fund will not consider for an FA award any Applicant that has no matching funds in-hand or firmly committed as of the application deadline under this NOFA. Specifically, a NACA Program Applicant must demonstrate that it has eligible matching funds equal to no less than 25 percent of the amount of the FA award requested in hand or firmly committed, on or after January 1, 2005 and on or before the application deadline. The Fund reserves the right to rescind all or a portion of an FA award and re-allocate the rescinded award amount to other qualified Applicant(s), if an Applicant fails to obtain in hand 100 percent of the required matching funds by March 14, 2008 (with required documentation of such receipt received by the Fund not later than March 31, 2008), or to grant an extension of such matching funds deadline for specific Applicants selected to receive FA, if the Fund deems it appropriate. For any Applicant that demonstrates that it has less than 100 percent of matching funds in hand or firmly committed as of the application deadline, the Fund will evaluate the Applicant’s ability to raise the remaining matching funds by March 14, 2008. 3. Matching Funds Terms Defined; Required Documentation. (a) ‘‘Matching funds in-hand’’ means that the Applicant has actually received the matching funds. If the matching funds are ‘‘in-hand,’’ the Applicant must provide the Fund with acceptable written documentation of the source, form and amount of the Matching Funds (i.e., grant, loan, and equity investment). For a loan, the Applicant must provide the Fund with a copy of the loan agreement and promissory note. For a grant, the Applicant must provide the Fund with a copy of the grant letter or agreement. For an equity investment, the Applicant must provide the Fund with a copy of the stock certificate and any related shareholder agreement. Further, if the matching funds are ‘‘inhand,’’ the Applicant must provide the Fund with acceptable documentation that evidences its receipt of the matching funds proceeds, such as a copy of a check or a wire transfer statement. (b) ‘‘Firmly committed matching funds’’ means that the Applicant has entered into or received a legally binding commitment from the matching funds source that the matching funds will be disbursed to the Applicant. If the PO 00000 Frm 00089 Fmt 4703 Sfmt 4703 matching funds are ‘‘firmly committed,’’ the Applicant must provide the Fund with acceptable written documentation to evidence the source, form, and amount of the firm commitment (and, in the case of a loan, the terms thereof), as well as the anticipated date of disbursement of the committed funds. (c) The Fund may contact the matching funds source to discuss the matching funds and the documentation provided by the Awardee. If the Fund determines that any portion of the Applicant’s matching funds is ineligible under this NOFA, the Fund, in its sole discretion, may permit the Applicant to offer alternative matching funds as a substitute for the ineligible matching funds; provided, however, that (i) the Applicant must provide acceptable alternative matching funds documentation within 5 business days of the Fund’s request and (ii) the alternative matching funds documentation cannot increase the total amount of Financial Assistance requested by the Applicant. 4. Special Rule for Insured Credit Unions. Please note that the Interim Rule allows an Insured Credit Union to use retained earnings to serve as matching funds for an FA grant in an amount equal to: (i) The increase in retained earnings that have occurred over the Applicant’s most recent fiscal year; (ii) the annual average of such increases that have occurred over the Applicant’s three most recent fiscal years; or (iii) the entire retained earnings that have been accumulated since the inception of the Applicant or such other financial measure as may be specified by the Fund. For purposes of this NOFA, if option (iii) is used, the Applicant must increase its member and/or non-member shares or total loans outstanding by an amount that is equal to the amount of retained earnings that is committed as matching funds. This amount must be raised by the end of the Awardee’s second performance period, as set forth in its Assistance Agreement, and will be based on amounts reported in the Applicant’s Audited or Reviewed Financial Statements or NCUA Form 5300 Call Report. 5. Severe Constraints Exception to Matching Funds Requirement; Applicability to Applicants Located in FEMA-Designated Major Disaster Areas Created by Hurricanes Katrina and/or Rita: In the case of any Applicant that has an office that is located in, or that provides a significant volume of services or financing to residents of or businesses located in, any county that is within a ‘‘major disaster area’’ as declared by the Federal Emergency Management Agency (FEMA) as a result E:\FR\FM\04OCN1.SGM 04OCN1 rwilkins on PROD1PC63 with NOTICES Federal Register / Vol. 71, No. 192 / Wednesday, October 4, 2006 / Notices of Hurricanes Katrina and/or Rita, and that has severe constraints on available sources of matching funds, such Applicant may be eligible for a ‘‘severe constraints waiver’’ (see section 1805.203 of the Interim Rule) if (i) it can demonstrate to the satisfaction of the Fund that an Investment Area(s) or Targeted Population(s) would not be adequately served without such a waiver and (ii) it projects to use the assistance to address issues resulting from Hurricanes Katrina and/or Rita (such as a significant volume of loan defaults) or to provide financial products, financial services, or Development Services to residents of or businesses located in any county that is within a ‘‘major disaster area’’ as declared by FEMA as a result of Hurricanes Katrina and/or Rita. If eligible for such a waiver, the Applicant may comply with the matching funds requirements of this NOFA as follows: (i) The matching funds requirement for such Applicant would be reduced to 50 percent (meaning, the Applicant must match 50 percent of the Fund’s FA award rather than 100 percent), or (ii) such an Applicant may provide matching funds in alternative (meaning, non-monetary) forms if the Applicant has total assets of less than $100,000 at the time of the application deadline, serves non-metropolitan or rural areas, and is not requesting more than $25,000 in financial assistance from the Fund. In the case of item (i) of this paragraph, the Applicant must demonstrate that it has eligible matching funds equal to no less than 25 percent of the amount of the FA award requested in- hand or firmly committed, on or after January 1, 2005 and on or before the application deadline. The Fund reserves the right to rescind all or a portion of an FA award and re-allocate the rescinded award amount to other qualified Applicant(s), if an Applicant fails to obtain in- hand 50 percent of the required matching funds by March 14, 2008 (with required documentation of such receipt received by the Fund not later than March 31, 2008), or to grant an extension of such matching funds deadline for specific Applicants selected to receive FA, if the Fund deems it appropriate. For any such Applicant that demonstrates that it has less than 50 percent of matching funds in- hand or firmly committed as of the application deadline, the Fund will evaluate the Applicant’s ability to raise the remaining matching funds by March 14, 2008. In the case of item (ii) of this paragraph, the NACA Program funding application contains further instructions on the type of documentation that the Applicant must VerDate Aug<31>2005 14:45 Oct 03, 2006 Jkt 211001 provide as evidence that such match was received and its valuation. The Fund reserves the right, in its sole discretion, to disallow any such match for which adequate documentation or valuation is not provided. IV. Application and Submission Information A. Form of Application Submission Applicants may submit applications under this NOFA either (i) through Grants.gov or (ii) in paper form. Applications sent by facsimile or other form will not be accepted. B. Grants.gov In compliance with Public Law 106– 107 and Section 5(a) of the Federal Financial Assistance Management Improvement Act, the Fund is required to accept applications submitted through the Grants.gov electronic system. The Fund has posted to its Web site, at http://www.cdfifund.gov, instructions for accessing and submitting an application through Grants.gov. Applicants are encouraged to start the registration process now at http://www.Grants.gov, as the process may take several weeks to fully complete. See the following link for information on getting started on Grants.gov: http://grants.gov/assets/ GrantsgovCoBrandBrochure8X11.pdf. C. Paper Applications If an applicant is unable to submit an electronic application, it must submit to the Fund a request for a paper application using the CDFI Program Paper Application Submission Form, and the request must be received by 5 p.m. ET on January 12, 2007. The CDFI Program Paper Application Submission Form may be obtained from the Fund’s Web site at http://www.cdfifund.gov or the form may be requested by e-mail to paper_request@cdfi.treas.gov or by facsimile to (202) 622–7754. The completed CDFI Program Paper Application Submission Form should be directed to the attention of the Fund’s Chief Information Officer and must be sent by facsimile to (202) 622–7754. These are not toll free numbers. Paper applications must be submitted in the format and with the number of copies specified in the application instructions. D. Application Content Requirements Detailed application content requirements are found in the application and guidance. Please note that, pursuant to OMB guidance (68 FR 38402), each Applicant must provide, as part of its application submission, a Dun and Bradstreet Data Universal Numbering System (DUNS) number. In PO 00000 Frm 00090 Fmt 4703 Sfmt 4703 58665 addition, each application must include a valid and current Employer Identification Number (EIN), with a letter or other documentation from the Internal Revenue Service (IRS) confirming the Applicant’s EIN. An application that does not include a valid EIN will be deemed incomplete. Incomplete applications will be rejected and returned to the sender. Applicants should allow sufficient time for the IRS and/or Dun and Bradstreet to respond to inquiries and/or requests for identification numbers. Once an application is submitted, the Applicant will not be allowed to change any element of the application. The preceding sentence does not limit the Fund’s ability to contact an Applicant for the purpose of obtaining clarifying or confirming application information (such as DUNS number or EIN information). E. MyCDFIFund Accounts All Applicants must register User and Organization accounts in myCDFIFund, the Fund’s Internet-based interface. As myCDFIFund is the Fund’s primary means of communication with Applicants and Awardees, organizations must make sure that they update the contact information in their myCDFIFund accounts. For more information on myCDFIFund, please see the ‘‘Frequently Asked Questions’’ link posted at https://www.cdfifund.gov/ myCDFI/Help/Help.asp. F. Application Deadlines; Address for Paper Submissions; Late Delivery Applicants must submit all materials described in and required by the application by the applicable deadline. 1. Application Deadlines: Applications must be received by the Fund at the address cited below and in accordance with the instructions provided on the Fund’s Web site, by 5 p.m. ET on January 30, 2007. 2. Address for Application Submission: A complete application must be received at the following address, by January 30, 2007: CDFI Fund Grants Manager, NACA Program, Bureau of Public Debt, 200 Third Street, Parkersburg, WV 26101. The telephone number to be used in conjunction with overnight delivery or mailings to this address is (304) 480–6088 (this is not a toll free number). Any documents received in any other office, including the Fund’s Washington, DC office, will be rejected and returned to the sender. 3. Late Delivery: The Fund will neither accept a late application nor any portion of an application that is late; an application that is late, or for which any portion is late, will be rejected and E:\FR\FM\04OCN1.SGM 04OCN1 58666 Federal Register / Vol. 71, No. 192 / Wednesday, October 4, 2006 / Notices returned to the sender. An application, including the required signed signature page, and all required paper attachments, must be received by the applicable time and date set forth above. The Fund will not grant exceptions or waivers for late delivery of documents including, but not limited to, late delivery that is caused by third parties such as the United States Postal Service, couriers or overnight delivery services. G. Intergovernmental Review Not applicable. H. Funding Restrictions For allowable uses of FA proceeds, please see the Interim Rule at 12 CFR 1805.301. rwilkins on PROD1PC63 with NOTICES V. Application Review Information A. Criteria The Fund will evaluate each application using numeric scores with respect to the following five sections: 1. Market Analysis (25 points): The Fund will evaluate: (i) The extent and nature of the economic distress within the designated Target Market including the Applicant’s understanding of its current and prospective customers; and (ii) the extent of demand for the Applicant’s Financial Products, Development Services, and Financial Services within the designated Target Market. The Fund will give special consideration to any Applicant that has an office that is located in, or that provides a significant volume of services or financing to residents of or businesses located in, (i) any county that is within the area declared to be a ‘‘major disaster’’ by FEMA as a result of Hurricanes Katrina and/or Rita; and/or (ii) any state that has been declared a ‘‘reception state’’ by FEMA. The form and content of such special consideration will be further clarified in the NACA Program application. 2. Business Strategy (25 points): The Fund will evaluate the Applicant’s business strategy for addressing market demand and creating community development impact through: (i) Its Financial Products, Development Services, and/or Financial Services; (ii) its marketing, outreach, and delivery strategy; and (iii) the extent, quality and nature of coordination with other similar providers of Financial Products and Financial Services, government agencies, and other key community development entities within the Target Market. The Fund will take into consideration whether the Applicant is proposing to expand into a new Target Market. 3. Community Development Performance and Effective Use (20 VerDate Aug<31>2005 14:45 Oct 03, 2006 Jkt 211001 points): The Fund will evaluate (i) the Applicant’s vision for its Target Market, specific outcomes or impacts for measuring progress towards achieving this vision, and the extent to which this award will allow it to achieve them; (ii) the Applicant’s track record in providing Financial Products, Financial Services, and Development Services to the Target Market; (iii) the extent to which proposed activities will benefit the Target Market; (iv) the likelihood of achieving the impact projections, including the extent to which the activities proposed in the Comprehensive Business Plan will expand economic opportunities or promote community development within the designated Target Market by promoting homeownership, affordable housing development, job creation or retention, the provision of affordable financial services, and other community development objectives; and (v) the extent to which the Applicant will maximize the effective use of the Fund’s resources. If an Applicant has a prior track record of serving Investment Areas(s) or Targeted Population(s), it must demonstrate that (i) it has a record of success in serving said Investment Area(s) or Targeted Population(s) and (ii) it will expand its operations into a new Investment Area or to serve a new Targeted Population, offer more products or services, or increase the volume of its current business. 4. Management (20 points): The Fund will evaluate the Applicant’s organizational capacity to achieve the objectives set forth in its Comprehensive Business Plan as well as its ability to use its award successfully and maintain compliance with its Assistance Agreement through an evaluation of: (i) The capacity, skills, size and experience of the Applicant’s current and proposed Governing Board, management team, and key staff; and (ii) the Applicant’s management controls and risk mitigation strategies including policies and procedures for portfolio underwriting and review, financial management, risk management, management information systems. 5. Financial Health and Viability (10 points): The Fund will evaluate the Applicant’s: (i) Audited or otherwise prepared Financial Statements; (ii) safety and soundness, including an analysis of the Applicant’s financial services industry ratios (capital, liquidity, deployment and selfsufficiency) and ability to sustain positive net revenue; (iii) projected financial health, including its ability to raise operating support from sources other than the Fund and its capitalization strategy; and (iv) portfolio PO 00000 Frm 00091 Fmt 4703 Sfmt 4703 performance including loan delinquency, loan losses, and loan loss reserves. If an Applicant does not have 100 percent of the required matching funds in-hand (versus committed), the Applicant must demonstrate to the satisfaction of the Fund that it will raise the outstanding balance of matching funds within the time table set forth above. 6. Technical Assistance Proposal: Any Applicant applying for a TA grant, either alone or in conjunction with a request for a FA award, must complete a Technical Assistance Proposal (TAP) as part of its application. The TAP consists of a summary of the organizational improvements needed to achieve the objectives of the application, a budget, and a description of the requested goods and/or services comprising the TA award request. The budget and accompanying narrative will be evaluated for the eligibility and appropriateness of the proposed uses of the TA award (described above). In addition, if the Applicant identifies a capacity-building need related to any of the evaluation criteria above (for example, if the Applicant requires a market need analysis or a community development impact tracking/reporting system), the Fund will assess its plan to use the TA grant to address said needs. An Applicant that is not a Certified CDFI and that requests TA to address certification requirements, must explain how the requested TA grant will assist the Applicant in meeting the certification requirement. An Applicant that requests a TA grant for recurring activities must clearly describe the benefit that would accrue to its capacity or to its Target Market(s) (such as plans for expansion of staff, market, or products) as a result of the TA award. If the Applicant is a prior Fund Awardee, it must describe how it has used the prior assistance and explain the need for additional Fund dollars over and above such prior assistance. Such an Applicant also must describe the additional benefits that would accrue to its capacity or to the Target Market(s) if the Applicant receives another award from the Fund, such as plans for expansion of staff, market, or products. The Fund will not provide funding for the same activities funded in prior awards. B. Review and Selection Process 1. Eligibility and Completeness Review: The Fund will review each application to determine whether it is complete and the Applicant meets the eligibility requirements set forth above. An incomplete application will be rejected as incomplete and returned to E:\FR\FM\04OCN1.SGM 04OCN1 rwilkins on PROD1PC63 with NOTICES Federal Register / Vol. 71, No. 192 / Wednesday, October 4, 2006 / Notices the sender. If an Applicant does not meet eligibility requirements, its application will be rejected and returned to the sender. 2. Substantive Review: If an application is determined to be complete and the Applicant is determined to be eligible, the Fund will conduct the substantive review of the application in accordance with the criteria and procedures described in the Interim Rule, this NOFA and the application and guidance. Each FA application will be reviewed and scored by multiple readers. Each TA application will be read and scored by one reader. Readers may include Fund staff and other experts in community development finance and/or Native community development. As part of the review process, the Fund may contact the Applicant by telephone or through an on-site visit for the purpose of obtaining clarifying or confirming application information. The Applicant may be required to submit additional information to assist the Fund in its evaluation process. Such requests must be responded to within the time parameters set by the Fund. 3. Application Scoring; Ranking: (a) Application Scoring: The Fund will evaluate each application on a 100point scale, comprising the five criteria categories described above, and assign numeric scores. An Applicant must receive a minimum total score in order to be considered for an award. In the case of an Applicant that has previously received funding from the Fund through any Fund program, the Fund will consider and will deduct points for: (i) The Applicant’s noncompliance with any active award or award that terminated in calendar year 2006, in meeting its performance goals, financial soundness covenants (if applicable), reporting deadlines and other requirements set forth in the assistance or award agreement(s) with the Fund during the Applicant’s two complete fiscal years prior to the application deadline of this NOFA (generally FY 2005 and FY 2006); (ii) the Applicant’s failure to make timely loan payments to the Fund during the Applicant’s two complete fiscal years prior to the application deadline of this NOFA (if applicable); (iii) performance on any prior Assistance Agreement as part of the overall assessment of the Applicant’s ability to carry out its Comprehensive Business Plan; and (iv) funds deobligated from a FY 2003, FY 2004 or FY 2005 FA award (if the Applicant is applying for a FA award under this NOFA) if (A) the amount of deobligated funds is at least $200,000 and (b) the deobligation occurred VerDate Aug<31>2005 14:45 Oct 03, 2006 Jkt 211001 subsequent to the expiration of the period of award funds availability (generally, any funds deobligated after the September 30th following the year in which the award was made). Any award deobligations that result in a point deduction under an application submitted pursuant to either funding round of this NOFA will not be counted against any future application for FA through the NACA Program. All questions regarding outstanding reports or compliance should be directed to the Grants Manager by e-mail at grantsmanagement@cdfi.treas.gov; by telephone at (202) 622–8226; by facsimile at (202) 622–7754; or by mail to CDFI Fund, 601 13th Street, NW., Suite 200 South, Washington, DC 20005. These are not toll free numbers. The Fund will respond to reporting or compliance questions between the hours of 9 a.m. and 5 p.m. ET, starting the date of the publication of this NOFA through January 26, 2007. The Fund will not respond to reporting or compliance phone calls or e-mail inquiries that are received after 5 p.m. on January 26, 2007 until after the application deadline. (b) Ranking: The Fund then will rank the applications by their scores, from highest to lowest, based on each Applicant’s scores for all five criteria categories added together. 4. Award Selection: The Fund will make its final award selections based on the rank order of Applicants by their scores and the amount of funds available. Subject to the availability of funding, the Fund will award funding in the order of the ranking. In addition, the Fund may consider the institutional and geographic diversity of Applicants when making its funding decisions. 5. Insured CDFIs: In the case of Insured Depository Institutions and Insured Credit Unions, the Fund will take into consideration the views of the Appropriate Federal Banking Agencies; in the case of State-Insured Credit Unions, the Fund may consult with the appropriate State banking agencies (or comparable entity). The Fund will not approve a FA award or a TA grant to any Insured Credit Union (other than a State-Insured Credit Union) or Insured Depository Institution Applicant that has a CAMEL rating that is higher than a ‘‘3’’ or for which its Appropriate Federal Banking Agency indicates it has safety and soundness concerns, unless the Appropriate Federal Banking Agency asserts, in writing, that: (i) An upgrade to a CAMEL 3 rating or better (or other improvement in status) is imminent and such upgrade is expected to occur not later than September 30, 2007 (for the FY 2007 Funding Round) PO 00000 Frm 00092 Fmt 4703 Sfmt 4703 58667 or within such other time frame deemed acceptable by the Fund, or (ii) the safety and soundness condition of the Applicant is adequate to undertake the activities for which the Applicant has requested a FA award and the obligations of an Assistance Agreement related to such a FA award. 6. Award Notification: Each Applicant will be informed of the Fund’s award decision either through a Notice of Award if selected for an award (see Notice of Award section, below) or written declination if not selected for an award. Each Applicant that is not selected for an award based on reasons other than completeness or eligibility issues may be offered a debriefing on the strengths and weaknesses of its application. This feedback will be provided in a format and within a timeframe to be determined by the Fund, based on available resources. The Fund will notify Awardees by e-mail or fax using the addresses maintained in the Awardee’s myCDFIFund account (postal mailings will be used only in rare cases). 7. The Fund reserves the right to reject an application if information (including administrative errors) comes to the attention of the Fund that either adversely affects an applicant’s eligibility for an award, or adversely affects the Fund’s evaluation or scoring of an application, or indicates fraud or mismanagement on the part of an Applicant. If the Fund determines that any portion of the application is incorrect in any material respect, the Fund reserves the right, in its sole discretion, to reject the application. The Fund reserves the right to change its eligibility and evaluation criteria and procedures, if the Fund deems it appropriate; if said changes materially affect the Fund’s award decisions, the Fund will provide information regarding the changes through the Fund’s Web site. There is no right to appeal the Fund’s award decisions. The Fund’s award decisions are final. VI. Award Administration Information A. Notice of Award The Fund will signify its conditional selection of an Applicant as an Awardee by delivering a signed Notice of Award to the Applicant. The Notice of Award will contain the general terms and conditions underlying the Fund’s provision of assistance including, but not limited to, the requirement that the Awardee and the Fund enter into an Assistance Agreement. The Applicant must execute the Notice of Award and return it to the Fund. By executing a Notice of Award, the Awardee agrees, E:\FR\FM\04OCN1.SGM 04OCN1 rwilkins on PROD1PC63 with NOTICES 58668 Federal Register / Vol. 71, No. 192 / Wednesday, October 4, 2006 / Notices among other things, that, if prior to entering into an Assistance Agreement with the Fund, information (including administrative error) comes to the attention of the Fund that either adversely affects the Awardee’s eligibility for an award, or adversely affects the Fund’s evaluation of the Awardee’s application, or indicates fraud or mismanagement on the part of the Awardee, the Fund may, in its discretion and without advance notice to the Awardee, terminate the Notice of Award or take such other actions as it deems appropriate. Moreover, by executing a Notice of Award, the Awardee agrees that, if prior to entering into an Assistance Agreement with the Fund, the Fund determines that the Awardee is in default of any Assistance Agreement previously entered into with the Fund, the Fund may, in its discretion and without advance notice to the Awardee, either terminate the Notice of Award or take such other actions as it deems appropriate. The Fund reserves the right, in its sole discretion, to rescind its award if the Awardee fails to return the Notice of Award, signed by the authorized representative of the Awardee, along with any other requested documentation, within the deadline set by the Fund. 1. Failure to meet reporting requirements: If an Awardee, or an entity that Controls the Awardee, is Controlled by the Awardee or shares common management officials with the Awardee (as determined by the Fund) is a prior Fund Awardee or allocatee under any Fund program and is not current on the reporting requirements set forth in the previously executed assistance, allocation or award agreement(s), as of the date of the Notice of Award, the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement until said prior Awardee or allocatee is current on the reporting requirements in the previously executed assistance, allocation or award agreement(s). Please note that the Fund only acknowledges the receipt of reports that are complete. As such, incomplete reports or reports that are deficient of required elements will not be recognized as having been received. If said prior Awardee or allocatee is unable to meet this requirement within the timeframe set by the Fund, the Fund reserves the right, in its sole discretion, to terminate and rescind the Notice of Award and the award made under this NOFA. 2. Pending resolution of noncompliance: If an Applicant is a prior Awardee or allocatee under any Fund program and if: (i) It has VerDate Aug<31>2005 14:45 Oct 03, 2006 Jkt 211001 submitted complete and timely reports to the Fund that demonstrate noncompliance with a previous assistance, award or allocation agreement; and (ii) the Fund has yet to make a final determination as to whether the entity is in default of its previous assistance, award or allocation agreement, the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement, pending full resolution, in the sole determination of the Fund, of the noncompliance. Further, if another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund), is a prior Fund Awardee or allocatee and if such entity: (i) Has submitted complete and timely reports to the Fund that demonstrate noncompliance with a previous assistance, award or allocation agreement; and (ii) the Fund has yet to make a final determination as to whether the entity is in default of its previous assistance, award or allocation agreement, the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement, pending full resolution, in the sole determination of the Fund, of the noncompliance. If the prior Awardee or allocatee in question is unable to satisfactorily resolve the issues of noncompliance, in the sole determination of the Fund, the Fund reserves the right, in its sole discretion, to terminate and rescind the Notice of Award and the award made under this NOFA. 3. Default status: If, at any time prior to entering into an Assistance Agreement through this NOFA, the Fund has made a final determination that an Awardee that is a prior Fund Awardee or allocatee under any Fund program is in default of a previously executed assistance, allocation or award agreement(s), the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement, until said prior Awardee or allocatee has submitted a complete and timely report demonstrating full compliance with said agreement within a timeframe set by the Fund. Further, if at any time prior to entering into an Assistance Agreement through this NOFA, the Fund has made a final determination that another entity that Controls the Awardee, is Controlled by the applicant or shares common management officials with the Awardee (as determined by the Fund), is a prior Fund Awardee or allocatee under any Fund program, and is in default of a previously executed assistance, allocation or award agreement(s), the Fund reserves the PO 00000 Frm 00093 Fmt 4703 Sfmt 4703 right, in its sole discretion, to delay entering into an Assistance Agreement, until said prior Awardee or allocatee has submitted a complete and timely report demonstrating full compliance with said agreement within a timeframe set by the Fund. If said prior Awardee or allocatee is unable to meet this requirement, the Fund reserves the right, in its sole discretion, to terminate and rescind the Notice of Award and the award made under this NOFA. 4. Termination in default: If (i) the Fund has made a final determination that an Awardee that is a prior Fund Awardee or allocatee under any Fund program whose award or allocation was terminated in default of such prior agreement; and (ii) the final reporting period end date for the applicable terminated agreement falls in Calendar Year 2006, the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement. Further, if (i) the Fund has made a final determination that another entity that Controls the Awardee, is Controlled by the Awardee or shares common management officials with the Awardee (as determined by the Fund), is a prior Fund Awardee or allocatee under any Fund program whose award or allocation was terminated in default of such prior agreement; and (ii) the final reporting period end date for the applicable terminated agreement falls in such entity’s 2005 or 2006 fiscal year, the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement. 5. Deobligated awards: An Awardee that receives a FA award pursuant to this NOFA for which an amount over $200,000 is deobligated by the Fund subsequent to the expiration of the period of award funds availability (generally, any funds deobligated after the September 30th following the year in which the award was made) but within the 12 months prior to the applicable application deadline, may not apply for a new award through another NOFA for one CDFI or NACA Program funding round after the date of said deobligation. B. Assistance Agreement Each Applicant that is selected to receive an award under this NOFA must enter into an Assistance Agreement with the Fund in order to receive disbursement of award proceeds. The Assistance Agreement will set forth certain required terms and conditions of the award, which will include, but not be limited to: (i) The amount of the award; (ii) the type of award; (iii) the approved uses of the award; (iv) the approved Target Market to which the E:\FR\FM\04OCN1.SGM 04OCN1 Federal Register / Vol. 71, No. 192 / Wednesday, October 4, 2006 / Notices rwilkins on PROD1PC63 with NOTICES funded activity must be targeted; (v) performance goals and measures; and (vi) reporting requirements for all Awardees. FA and FA/TA Assistance Agreements under this NOFA generally will have three-year performance periods; TA-only Assistance Agreements generally will have twoyear performance periods. The Fund reserves the right, in its sole discretion, to terminate the Notice of Award and rescind an award if the Awardee fails to return the Assistance Agreement, signed by the authorized representative of the Awardee, and/or provide the Fund with any other requested documentation, within the deadlines set by the Fund. In addition to entering into an Assistance Agreement, each Awardee that receives an award either (i) in the form of a loan, equity investment, credit union shares/deposits, or secondary capital, in any amount, or (ii) a FA grant in an amount greater than $500,000, must furnish to the Fund an opinion from its legal counsel, the content of which will be specified in the Assistance Agreement, to include, among other matters, an opinion that the Awardee: (A) is duly formed and in good standing in the jurisdiction in which it was formed and/or operates; (B) has the authority to enter into the Assistance Agreement and undertake the activities that are specified therein; and (C) has no pending or threatened litigation that would materially affect its ability to enter into and carry out the activities specified in the Assistance Agreement. Each other Awardee must provide the Fund with a good standing certificate (or equivalent documentation) from its state (or jurisdiction) of incorporation. C. Reporting 1. Reporting requirements: The Fund will collect information, on at least an annual basis, from each Awardee including, but not limited to, an Annual Report that comprises the following components: (i) Financial Report (not required of Sponsoring Entities); (ii) Institution Level Report; (iii) Transaction Level Report (for Awardees receiving FA); (iv) Financial Status Report (for Awardees receiving TA); (v) Uses of Financial Assistance and Matching Funds Report (for Awardees receiving FA awards); (vi) Explanation of Noncompliance (as applicable); and (vii) such other information as the Fund may require. Each Awardee is responsible for the timely and complete submission of the Annual Report, even if all or a portion of the documents actually is completed by another entity or signatory to the Assistance VerDate Aug<31>2005 14:45 Oct 03, 2006 Jkt 211001 58669 ET on said date, until after the funding application deadline. Applications and other information regarding the Fund and its programs may be obtained from the Fund’s Web site at http:// www.cdfifund.gov. The Fund will post on its Web site responses to questions of general applicability regarding the CDFI Program. Agreement. If such other entities or signatories are required to provide Institution Level Reports, Transaction Level Reports, Financial Reports, or other documentation that the Fund may require, the Awardee is responsible for ensuring that the information is submitted timely and complete. The Fund reserves the right to contact such additional signatories to the Assistance Agreement and require that additional information and documentation be provided. The Fund will use such information to monitor each Awardee’s compliance with the requirements set forth in the Assistance Agreement and to assess the impact of the NACA Program. The Institution Level Report and the Transaction Level Report must be submitted through the Fund’s Webbased data collection system, the Community Investment Impact System (CIIS). The Financial Report may be submitted through CIIS, or by fax or mail to the Fund. All other components of the Annual Report may be submitted to the Fund in paper form or other form to be determined by the Fund. The Fund reserves the right, in its sole discretion, to modify these reporting requirements if it determines it to be appropriate and necessary; however, such reporting requirements will be modified only after notice to Awardees. 2. Accounting: The Fund will require each Awardee that receives FA and TA awards through this NOFA to account for and track the use of said FA and TA awards. This means that for every dollar of FA and TA awards received from the Fund, the Awardee will be required to inform the Fund of its uses. This will require Awardees to establish separate administrative and accounting controls, subject to the applicable OMB Circulars. The Fund will provide guidance to Awardees outlining the format and content of the information to be provided on an annual basis, outlining and describing how the funds were used. Each Awardee that receives a FA award must establish a separate bank account for the FA funds and provide the Fund with the required complete and accurate Automated Clearinghouse (ACH) form for that separate bank account prior to award closing and disbursement. D. Compliance and Monitoring Support If you have any questions regarding the compliance requirements of this NOFA, including questions regarding performance on prior awards, contact the Fund’s Compliance Manager by email at cme@cdfi.treas.gov, by telephone at (202) 622–8226, by facsimile at (202) 622–6453, or by mail at CDFI Fund, 601 13th Street, NW., Suite 200 South, Washington, DC 20005. These are not toll free numbers. VII. Agency Contacts The Fund will respond to questions and provide support concerning this NOFA and the funding application between the hours of 9 a.m. and 5 p.m. ET, starting the date of the publication of this NOFA through January 26, 2007. The Fund will not respond to questions or provide support concerning the application that are received after 5 p.m. E. Legal Counsel Support If you have any questions or matters that you believe require response by the Fund’s Office of Legal Counsel, please refer to the document titled ‘‘How to Request a Legal Review,’’ found on the Fund’s Web site at http:// www.cdfifund.gov. Further, if you wish to review the Assistance Agreement form document from a prior funding PO 00000 Frm 00094 Fmt 4703 Sfmt 4703 A. Information Technology Support Technical support can be obtained by calling (202) 622–2455 or by e-mail at ithelpdesk@cdfi.treas.gov. People who have visual or mobility impairments that prevent them from creating an Investment Area map using the Fund’s Web site should call (202) 622–2455 for assistance. These are not toll free numbers. B. Programmatic Support If you have any questions about the programmatic requirements of this NOFA, contact the Fund’s Program office by e-mail at cdfihelp@cdfi.treas.gov, by telephone at (202) 622–6355, by facsimile at (202) 622–7754, or by mail at CDFI Fund, 601 13th Street, NW., Suite 200 South, Washington, DC 20005. These are not toll-free numbers. C. Grants Management Support If you have any questions regarding the administrative requirements of this NOFA, including questions regarding submission requirements, contact the Fund’s Grants Manager by e-mail at grantsmanagement@cdfi.treas.gov, by telephone at (202) 622–8226, by facsimile at (202) 622–6453, or by mail at CDFI Fund, 601 13th Street, NW., Suite 200 South, Washington, DC 20005. These are not toll free numbers. E:\FR\FM\04OCN1.SGM 04OCN1 58670 Federal Register / Vol. 71, No. 192 / Wednesday, October 4, 2006 / Notices round, you may find it posted on the Fund’s Web site (please note that there may be revisions to the Assistance Agreement that will be used for Awardees under this NOFA and thus the sample document on the Fund’s Web site should not be relied upon for purposes of this NOFA). F. Communication with the CDFI Fund The Fund will use its myCDFIFund Internet interface to communicate with Applicants and Awardees under this NOFA. Applicants must register through myCDFIFund in order to submit a complete application for funding. Awardees must use myCDFIFund to submit required reports. The Fund will notify Awardees by e-mail using the addresses maintained in each Awardee’s myCDFIFund account. Therefore, the Awardee and any Subsidiaries, signatories, and Affiliates must maintain accurate contact information (including contact person and authorized representative, e-mail addresses, fax numbers, phone numbers, and office addresses) in their myCDFIFund account(s). For more information about myCDFIFund, please see the Help documents posted at http:// www.cdfifund.gov/myCDFI/Help/ Help.asp. VIII. Information Sessions and Outreach The Fund may conduct Information Sessions to disseminate information to organizations contemplating applying to, and other organizations interested in learning about, the Fund’s programs. For further information on the Fund’s Information Sessions, dates and locations, or to register to attend an Information Session, please visit the Fund’s Web site at http:// www.cdfifund.gov or call the Fund at (202) 622–9046. Authority: 12 U.S.C. 4703, 4703 note, 4704, 4706, 4707, 4717; 12 CFR part 1805. Dated: September 27, 2006. Arthur A. Garcia, Director, Community Development Financial Institutions Fund. [FR Doc. E6–16388 Filed 10–3–06; 8:45 am] BILLING CODE 4810–70–P DEPARTMENT OF THE TREASURY rwilkins on PROD1PC63 with NOTICES Office of Foreign Assets Control Additional Designations, Foreign Narcotics Kingpin Designation Act Office of Foreign Assets Control, Treasury. ACTION: Notice. AGENCY: VerDate Aug<31>2005 14:45 Oct 03, 2006 Jkt 211001 SUMMARY: The Treasury Department’s Office of Foreign Assets Control (‘‘OFAC’’) is publishing the names of additional persons whose property and interests in property have been blocked pursuant to the Foreign Narcotics Kingpin Designation Act (21 U.S.C. 1901–1908, 8 U.S.C. 1182) of December 3, 1999. In addition, OFAC is publishing a change to the listing of two individuals previously designated pursuant to the Foreign Narcotics Kingpin Designation Act. DATES: The designations by OFAC of additional persons identified in this notice whose property and interests in property have been blocked pursuant to section 804(b) of the Kingpin Act became effective on September 28, 2006. In addition, the change to the listing of two individuals previously designated pursuant to section 804(b) of the Kingpin Act became effective on September 28, 2006. FOR FURTHER INFORMATION CONTACT: Assistant Director, Compliance Outreach & Implementation, Office of Foreign Assets Control, Department of the Treasury, Washington, DC 20220, tel.: 202/622–2490. SUPPLEMENTARY INFORMATION: Electronic and Facsimile Availability This document and additional information concerning OFAC are available on OFAC’s Web site (www.treas.gov/ofac) or via facsimile through a 24-hour fax-on demand service, tel.: (202) 622–0077. Background The Foreign Narcotics Kingpin Designation Act (‘‘Kingpin Act’’) became law on December 3, 1999. The Kingpin Act establishes a program targeting the activities of significant foreign narcotics traffickers and their organizations on a worldwide basis. It provides a statutory framework for the President to impose sanctions against significant foreign narcotics traffickers and their organizations on a worldwide basis, with the objective of denying their businesses and agents access to the U.S. financial system and to the benefits of trade and transactions involving U.S. companies and individuals. The Kingpin Act blocks all property and interests in property, subject to U.S. jurisdiction, owned or controlled by significant foreign narcotics traffickers as identified by the President. In addition, the Kingpin Act blocks the property and interests in property, subject to U.S. jurisdiction, of foreign persons designated by the Secretary of Treasury, in consultation with the Attorney General, the Director of Central PO 00000 Frm 00095 Fmt 4703 Sfmt 4703 Intelligence, the Director of the Federal Bureau of Investigation, the Administrator of the Drug Enforcement Administration, the Secretary of Defense, and the Secretary of State, who are found to be: (1) Materially assisting in, or providing financial or technological support for or to, or providing goods or services in support of, the international narcotics trafficking activities of a person designated pursuant to the Kingpin Act; (2) owned, controlled, or directed by, or acting for or on behalf of, a person designated pursuant to the Kingpin Act; or (3) playing a significant role in international narcotics trafficking. On September 28, 2006, OFAC designated five additional entities and fifteen additional individuals whose property and interests in property are blocked pursuant to section 804(b) of the Foreign Narcotics Kingpin Designation Act. The list of additional designees follows: Entities 1. PLAYA MAR S.A. DE C.V., Paseo De Los Heroes, Colonia Rio Tijuana 2110, Tijuana, Baja California, Mexico; Entre Via Rapida y Jose Clemente Orozco, Tijuana, Baja California, Mexico; Blvd. Agua Caliente 10440, Colonia Aviacion 22420, Tijuana, Baja California, Mexico; R.F.C. # PMA– 910805 (Mexico) [SDNTK] 2. INMOBILIARIA ESPARTA S.A. DE C.V., Avenida Negrete 220 Local 2B, Colonia Zona Central, Tijuana, Baja California, Mexico; R.F.C. # IES–870805 (Mexico) [SDNTK] 3. INMOBILIARIA LA PROVINCIA S.A. DE C.V., Cuauhtemoc 6046 3 Libertad,Tijuana, Baja California, Mexico; R.F.C. # IPR–931014 (Mexico) [SDNTK] 4. INMOBILIARIA ESTADO 29 S.A. DE C.V., Entre Juan Sarabia y Plutarco Elias C., Tijuana, Baja California, Mexico; Ocampo 1860 4, Colonia Zona Central, Tijuana, Baja California, Mexico; R.F.C. # IEV–950628 (Mexico) [SDNTK] 5. INMOBILIARIA TIJUANA COSTA S.A. DE C.V., Agua Caliente 10440 9, Colonia Aviacion, Tijuana, Baja California, Mexico; Entre Abelardo L. Rodriguez y Avenida Del Rio, Tijuana, Baja California, Mexico; R.F.C. # ITC– 910503 (Mexico) [SDNTK] Individuals 1. HERNANDEZ SOMERO, Urbano, Avenida Manuela Herrera 592, Colonia Rio Reforma CP 22000, Tijuana, Baja California, Mexico; C. Mision de Mulege 2993, Colonia Zona Urbana Rio Tijuana, Tijuana, Baja California, Mexico; E:\FR\FM\04OCN1.SGM 04OCN1

Agencies

[Federal Register Volume 71, Number 192 (Wednesday, October 4, 2006)]
[Notices]
[Pages 58661-58670]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-16388]


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DEPARTMENT OF THE TREASURY

Community Development Financial Institutions Fund


Funding Opportunity Title: Revised Notice of Funds Availability 
(NOFA) Inviting Applications for the FY 2007 Funding Round of the 
Native American CDFI Assistance (NACA) Program

    Announcement Type: Initial announcement of funding opportunity.

Catalog of Federal Domestic Assistance (CFDA) Number: 21.020.

DATES: Applications for the FY 2007 Funding Round of the NACA Program 
must be received by 5 p.m. ET on January 30, 2007.

EXECUTIVE SUMMARY: On December 21, 2005, the Community Development 
Financial Institutions Fund (the Fund) published a NOFA in the Federal 
Register (70 FR 75872) in connection with two consecutive funding 
rounds of the NACA Program: (i) The FY 2006 Funding Round and (ii) the 
FY 2007 Funding Round. Through this revised NOFA, the Fund announces 
revised dates for the FY 2007 Funding Round. Because the FY 2006 
Funding Round is now complete, this revised NOFA is being issued for 
the FY 2007 Funding Round only. Parties interested in the FY 2007 
Funding Round should review and refer to this revised NOFA, 
disregarding the December 21, 2005 NOFA, as the FY 2007 Funding Round 
dates in the December 21, 2005 NOFA have been changed.

I. Funding Opportunity Description

    A. Through the NACA Program, the Fund provides Financial Assistance 
(FA) awards to Community Development Financial Institutions (CDFIs) 
that have at least 50 percent of their activities directed toward 
serving Native American, Alaska Native and/or Native Hawaiian 
communities (Native CDFIs) in order to build their capacity to better 
address the community development and capital access needs of their 
Target Market(s) and to expand into new Investment Areas, Low-Income 
Targeted Populations, or Other Targeted Populations. Through the NACA 
Program, the Fund provides Technical Assistance (TA) grants to entities 
that propose to become Native CDFIs, and to Native organizations, 
Tribes and Tribal organizations (Sponsoring Entities) that propose to 
create Native CDFIs, in order to build their capacity to better address 
the community development and capital access needs of their Target 
Market(s), to expand into new Investment Areas, Low-Income Targeted 
Populations, or Other Targeted Populations, or to create Native CDFIs.
    B. The regulations governing the CDFI Program, found at 12 CFR part 
1805 (the Interim Rule), provide relevant guidance on evaluation 
criteria and other requirements of the NACA Program. The Fund 
encourages Applicants to review the Interim Rule. Detailed application 
content requirements are found in the applicable funding application 
and related guidance materials. Each capitalized term in this NOFA is 
more fully defined in the Interim Rule, the application or the guidance 
materials.
    C. The Fund reserves the right to fund, in whole or in part, any, 
all, or none of the applications submitted in response to this NOFA. 
The Fund reserves the right to re-allocate funds from the amount that 
is anticipated to be available under this NOFA to other Fund programs, 
particularly if the Fund determines that the number of awards made 
under this NOFA is fewer than projected.

II. Award Information

A. Funding Availability

1. FY 2007 Funding Round
    Through the FY 2007 Funding Round, and subject to funding 
availability, the Fund expects that it may award approximately $3.5 
million in appropriated funds through the NACA Program. The Fund 
reserves the right to award in excess of $3.5 million in appropriated 
funds to Applicants in the FY 2007 Funding Round, provided that the 
funds are available and the Fund deems it appropriate.
2. Availability of Funds for the FY 2007 Funding Round
    Funds for the FY 2007 Funding Round have not yet been appropriated. 
If funds are not appropriated for the FY 2007 Funding Round, there will 
not be a FY 2007 Funding Round. Further, it is possible that if funds 
are appropriated for the FY 2007 Funding Round, the amount of such 
funds may be less than the amounts set forth above.

B. Types of Awards

    An NACA Program Applicant may submit an application for: (i) An FA 
award; (ii) an FA award and a TA grant; or (iii) a TA grant.
1. FA Awards
    The Fund may provide FA awards in the form of equity investments 
(including, in the case of certain Insured Credit Unions, secondary 
capital accounts), grants, loans, deposits, credit union shares, or any 
combination thereof. The Fund reserves the right, in its sole 
discretion, to provide an FA award in a form and amount other than that 
which is requested by an Applicant. The Fund reserves the right, in its 
sole discretion, to provide an FA award on the condition that the 
Applicant agrees to use a TA grant for specified capacity building 
purposes, even if the Applicant has not requested a TA grant.
2. TA Grants
    (a) The Fund may provide TA awards in the form of grants. The Fund 
reserves the right, in its sole discretion, to provide a TA grant for 
uses and amounts other than and in addition to that which are requested 
by an Applicant.
    (b) TA grants may be used to address a variety of needs including, 
but not limited to, development of strategic planning documents (such 
as business, strategic or capitalization plans), market analyses or 
product feasibility analyses, operational policies and procedures, 
curricula for Development Services (such as entrepreneurial training, 
home

[[Page 58662]]

buyer education, financial education or training, borrower credit 
repair training), improvement of underwriting and portfolio management, 
development of outreach and training strategies to enhance product 
delivery, operating support to expand into a new Target Market, and 
tools that allow the Applicant to assess the impact of its activities 
in its community. Each Applicant for a TA grant through this NOFA is 
required to provide information in the application regarding the 
expected cost, timing and provider of the TA, and a narrative 
description of how the TA grant will enhance its capacity to provide 
greater community development impact, to become certified as a Native 
CDFI, or to create a Native CDFI, if applicable.
    (c) Eligible TA grant uses include, but are not limited to: (i) 
Acquiring consulting services; (ii) acquiring/enhancing technology 
items, including computer hardware, software and Internet connectivity; 
(iii) acquiring training for staff, management and/or board members; 
and (iv) paying recurring expenses, including staff salary and other 
key operating expenses, that will enhance the capacity of the Applicant 
to serve its Target Market, and/or to become certified as a Native CDFI 
or to create a Native CDFI.

C. Notice of Award; Assistance Agreement

    Each Awardee under this NOFA must sign a Notice of Award and an 
Assistance Agreement in order to receive a disbursement of award 
proceeds by the Fund. The Notice of Award and the Assistance Agreement 
contain the terms and conditions of the award. For further information, 
see Sections VI.A and VI.B of this NOFA.

III. Eligibility Information

A. Eligible Applicants

    The Interim Rule specifies the eligibility requirements that each 
Applicant must meet in order to be eligible to apply for assistance 
under this NOFA. The following sets forth additional detail and dates 
that relate to the submission of applications under this NOFA:
1. CDFI Certification Requirements
    For purposes of this NOFA, any Applicant that is a Certified Native 
CDFI or a Certifiable Native CDFI may apply for a FA award or a FA 
award and a TA grant. An Applicant that is an Emerging Native CDFI or a 
Sponsoring Entity may apply for a TA grant only.
    (a) Certified Native CDFIs: For purposes of this NOFA, a Certified 
Native CDFI is a Certified CDFI that primarily serves (meaning, at 
least 50 percent of its activities are directed toward serving) a 
Native Community and whose certification has not expired and that has 
not been notified by the Fund that its certification has been 
terminated. Each such Applicant must include a ``Certification of 
Material Event Form'' with its NACA application by the application 
deadline, in accordance with the instructions on the Fund's Web site at 
http://www.cdfifund.gov.

    Please Note: The Fund provided a number of CDFIs with 
certifications expiring in 2003 through 2005 written notification 
that their certifications had been extended. The Fund will consider 
the extended certification date (the later date) to determine 
whether those CDFIs meet this eligibility requirement.

    (b) Certifiable Native CDFIs: For purposes of this NOFA, a 
Certifiable Native CDFI is an entity that primarily serves (meaning, at 
least 50 percent of its activities are directed toward serving) a 
Native Community and from which the Fund receives a complete CDFI 
Certification Application by the applicable deadline of the NACA 
Program application, evidencing that the Applicant meets all 
requirements to be certified as a CDFI. Applicants may obtain the CDFI 
Certification Application through the Fund's Web site at http://
www.cdfifund.gov. Applications for certification must be submitted as 
instructed in the application form. FA Applicants that are Certifiable 
Native CDFIs please note: while your organization may be conditionally 
selected for funding (as evidenced through the Notice of Award), the 
Fund will not enter into an Assistance Agreement or disburse FA award 
funds unless and until the Fund has certified your organization as a 
CDFI. If the Fund is unable to certify your organization as a CDFI 
based on the CDFI certification application that your organization 
submits to the Fund, the Notice of Award may be terminated and the 
award commitment may be cancelled, in the sole discretion of the Fund.
    (c) Emerging Native CDFIs: For purposes of this NOFA, an Emerging 
Native CDFI is an entity that primarily serves (meaning, at least 50 
percent of its activities are directed toward serving) a Native 
Community and that demonstrates to the satisfaction of the Fund that it 
has a reasonable plan to achieve CDFI certification within a reasonable 
timeframe. Emerging CDFIs may only apply for TA grants; they are not 
eligible to apply for FA awards. Each Emerging CDFI that is selected to 
receive a TA grant will be required, pursuant to its Assistance 
Agreement with the Fund, to work toward CDFI certification by a date 
certain.
    (d) Sponsoring Entities: For purposes of this NOFA, a Sponsoring 
Entity is an entity that proposes to create a separate legal entity 
that will become certified as a CDFI. For purposes of this NOFA, 
Sponsoring Entities include: (a) A Tribe, Tribal entity, Alaska Native 
Village, Village Corporation, Regional Corporation, Non-Profit Regional 
Corporation/Association, or Inter-Tribal or Inter-Village organization; 
(b) an organization whose primary mission is to serve a Native 
Community including, but not limited to an Urban Indian Center, 
Tribally Controlled Community College, community development 
corporation (CDC), training or educational organization, or Chamber of 
Commerce, and that primarily serves (meaning, at least 50 percent of 
its activities are directed toward serving) a Native Community. 
Sponsoring Entities may only apply for TA grants; they are not eligible 
to apply for FA awards. Each Sponsoring Entity that is selected to 
receive a TA grant will be required, pursuant to its Assistance 
Agreement with the Fund, to create a legal entity by a date certain 
that will, in turn, seek CDFI certification.

B. Prior Awardees

    Applicants must be aware that success in a prior round of any of 
the Fund's programs is not indicative of success under this NOFA. Prior 
awardees are eligible to apply under this NOFA, except as follows:
    1. $5 Million Funding Cap: The Fund is generally prohibited from 
obligating more than $5 million in assistance, in the aggregate, to any 
one organization and its Subsidiaries and Affiliates during any three-
year period. For the purposes of this NOFA, the period extends back 
three years from the date that the Fund signs a Notice of Award issued 
to an Awardee under this NOFA.
    2. Failure to meet reporting requirements: The Fund will not 
consider an application submitted by an Applicant if the Applicant, or 
an entity that Controls the Applicant, is Controlled by the Applicant 
or shares common management officials with the applicant (as determined 
by the Fund) is a prior Fund Awardee or allocatee under any Fund 
program and is not current on the reporting requirements set forth in a 
previously executed assistance, allocation or award agreement(s) as of 
the applicable application deadline of this NOFA. Please note that the 
Fund only acknowledges the receipt of reports that

[[Page 58663]]

are complete. As such, incomplete reports or reports that are deficient 
of required elements will not be recognized as having been received.
    3. Pending resolution of noncompliance: If an Applicant is a prior 
Awardee or allocatee under any Fund program and if: (i) It has 
submitted complete and timely reports to the Fund that demonstrate 
noncompliance with a previous assistance, allocation or award 
agreement; and (ii) the Fund has yet to make a final determination as 
to whether the entity is in default of its previous assistance, 
allocation or award agreement, the Fund will consider the Applicant's 
application under this NOFA pending full resolution, in the sole 
determination of the Fund, of the noncompliance. Further, if another 
entity that Controls the Applicant, is Controlled by the Applicant or 
shares common management officials with the Applicant (as determined by 
the Fund), is a prior Fund Awardee or allocatee and if such entity: (i) 
Has submitted complete and timely reports to the Fund that demonstrate 
noncompliance with a previous assistance, allocation or award 
agreement; and (ii) the Fund has yet to make a final determination as 
to whether the entity is in default of its previous assistance, 
allocation, or award agreement, the Fund will consider the Applicant's 
application under this NOFA pending full resolution, in the sole 
determination of the Fund, of the noncompliance.
    4. Default status: The Fund will not consider an application 
submitted by an Applicant that is a prior Fund Awardee or allocatee 
under any Fund program if, as of the applicable application deadline of 
this NOFA, the Fund has made a final determination that such Applicant 
is in default of a previously executed assistance, allocation or award 
agreement(s). Further, an entity is not eligible to apply for an award 
pursuant to this NOFA if, as of the applicable application deadline of 
this NOFA, the Fund has made a final determination that another entity 
that Controls the Applicant, is Controlled by the Applicant or shares 
common management officials with the Applicant (as determined by the 
Fund): (i) Is a prior Fund Awardee or allocatee under any Fund program; 
and (ii) has been determined by the Fund to be in default of a 
previously executed assistance, allocation or award agreement(s).
    5. Termination in default: The Fund will not consider an 
application submitted by an Applicant that is a prior Fund Awardee or 
allocatee under any Fund program if: (i) The Fund has made a final 
determination that such Applicant's prior award or allocation 
terminated in default of a previously executed assistance, allocation 
or award agreement(s); and (ii) the final reporting period end date for 
the applicable terminated assistance, allocation or award agreement(s) 
falls in Calendar Year 2006. Further, an entity is not eligible to 
apply for an award pursuant to this NOFA if: (i) The Fund has made a 
final determination that another entity that Controls the Applicant, is 
Controlled by the Applicant or shares common management officials with 
the Applicant (as determined by the Fund), is a prior Fund Awardee or 
allocatee under any Fund program whose award or allocation terminated 
in default of a previously executed assistance, allocation or award 
agreement(s); and (ii) the final reporting period end date for the 
applicable terminated assistance, allocation or award agreement(s) 
falls in Calendar Year 2006.
    6. Undisbursed balances: The Fund will not consider an application 
submitted by an Applicant that is a prior Fund Awardee under any Fund 
program if the Applicant has a balance of undisbursed funds (defined 
below) under said prior award(s), as of the applicable application 
deadline of this NOFA. Further, an entity is not eligible to apply for 
an award pursuant to this NOFA if another entity that Controls the 
Applicant, is Controlled by the Applicant or shares common management 
officials with the Applicant (as determined by the Fund), is a prior 
Fund Awardee under any Fund program, and has a balance of undisbursed 
funds under said prior award(s), as of the applicable application 
deadline of this NOFA. In a case where another entity that Controls the 
Applicant, is Controlled by the Applicant or shares common management 
officials with the Applicant (as determined by the Fund), is a prior 
Fund Awardee under any Fund program, and has a balance of undisbursed 
funds under said prior award(s), as of the applicable application 
deadline of this NOFA, the Fund will include the combined awards of the 
Applicant and such Affiliated entities when calculating the amount of 
undisbursed funds. For purposes of this section, ``undisbursed funds'' 
is defined as: (i) In the case of a prior Bank Enterprise Award (BEA) 
Program award(s), any balance of award funds equal to or greater than 
five (5) percent of the total prior BEA Program award(s) that remains 
undisbursed more than three (3) years after the end of the calendar 
year in which the Fund signed an award agreement with the Awardee; and 
(ii) in the case of a prior CDFI Program or other Fund program 
award(s), any balance of award funds equal to or greater than five (5) 
percent of the total prior award(s) that remains undisbursed more than 
two (2) years after the end of the calendar year in which the Fund 
signed an assistance agreement with the Awardee. ``Undisbursed funds'' 
does not include (i) tax credit allocation authority made available 
through the New Market Tax Credit (NMTC) Program; (ii) any award funds 
for which the Fund received a full and complete disbursement request 
from the Awardee by the applicable application deadline of this NOFA; 
(iii) any award funds for an award that has been terminated, expired, 
rescinded or deobligated by the Fund; or (iv) any award funds for an 
award that does not have a fully executed assistance or award 
agreement. The Fund strongly encourages Applicants requesting 
disbursements of ``undisbursed funds'' from prior awards to provide the 
Fund with a complete disbursement request at least 10 business days 
prior to the applicable application deadline of this NOFA.
    7. Exception for Applicants Impacted by Hurricanes Katrina and/or 
Rita: Please note that the provisions of paragraphs 2 (Failure to meet 
reporting requirements) and 6 (Undisbursed balances) of this section do 
not apply to any Applicant that has an office located in, or that 
provides a significant volume of services or financing to residents of 
or businesses located in, a county that is within a ``major disaster 
area'' as declared by the Federal Emergency Management Agency (FEMA) as 
a result of Hurricanes Katrina and/or Rita. Said requirements are 
waived for those Applicants under this NOFA.
    8. Contact the Fund: Accordingly, Applicants that are prior 
Awardees are advised to: (i) Comply with requirements specified in 
assistance, allocation and/or award agreement(s), and (ii) contact the 
Fund to ensure that all necessary actions are underway for the 
disbursement or de-obligation of any outstanding balance of said prior 
award(s). All outstanding reports, disbursement or compliance questions 
should be directed to the Grants Manager by e-mail at 
grantsmanagement@cdfi.treas.gov; by telephone at (202) 622-8226; by 
facsimile at (202) 622-6453; or by mail to CDFI Fund, 601 13th Street, 
NW., Suite 200 South, Washington, DC 20005. The Fund will respond to 
Applicants' reporting, disbursement or compliance questions between the 
hours of 9 a.m. and 5 p.m. ET, starting the date of the

[[Page 58664]]

publication of this NOFA through January 26, 2007 (two business days 
before the application deadline). The Fund will not respond to 
Applicants' reporting, disbursement or compliance phone calls or e-mail 
inquiries that are received after 5 p.m. on said date, until after the 
funding application deadline.
    9. Limitation on Awards: An Applicant may receive only one award 
through either the CDFI Program or the NACA Program in the same funding 
year. An Applicant may apply under both the CDFI Program and the NACA 
Program but will not be selected for funding under both. A NACA Program 
Applicant, its Subsidiaries or Affiliates also may apply for and 
receive: (i) A tax credit allocation through the NMTC Program but only 
to the extent that the activities approved for CDFI Program awards are 
different from those activities for which the Applicant receives an 
NMTC Program allocation; and (ii) an award through the BEA Program 
(subject to certain limitations; refer to the Interim Rule at 12 CFR 
1805.102).

C. Matching Funds

    1. Matching Funds Requirements in General: Applicants responding to 
this NOFA must obtain non-Federal matching funds from sources other 
than the Federal government on the basis of not less than one dollar 
for each dollar of FA funds provided by the Fund (matching funds are 
not required for TA grants). Matching funds must be at least comparable 
in form and value to the FA award provided by the Fund (for example, if 
an Applicant is requesting an FA grant from the Fund, the Applicant 
must have evidence that it has obtained matching funds through grant(s) 
from non-Federal sources that are at least equal to the amount 
requested from the Fund). Funds used by an Applicant as matching funds 
for a prior FA award under the CDFI Program or under another Federal 
grant or award program cannot be used to satisfy the matching funds 
requirement of this NOFA. If an Applicant seeks to use as matching 
funds monies received from an organization that was a prior Awardee 
under the CDFI Program, the Fund will deem such funds to be Federal 
funds, unless the funding entity establishes to the reasonable 
satisfaction of the Fund that such funds do not consist, in whole or in 
part, of CDFI Program funds or other Federal funds. For the purposes of 
this NOFA, BEA Program awards are not deemed to be Federal funds and 
are eligible as matching funds. The Fund encourages Applicants to 
review the Interim Rule at 12 CFR 1805.500 et seq. and matching funds 
guidance materials on the Fund's Web site for further information.
    2. Matching Funds Requirements for the FY 2007 Funding Round: Due 
to funding constraints and the desire to quickly deploy Fund dollars, 
the Fund will not consider for an FA award any Applicant that has no 
matching funds in-hand or firmly committed as of the application 
deadline under this NOFA. Specifically, a NACA Program Applicant must 
demonstrate that it has eligible matching funds equal to no less than 
25 percent of the amount of the FA award requested in hand or firmly 
committed, on or after January 1, 2005 and on or before the application 
deadline. The Fund reserves the right to rescind all or a portion of an 
FA award and re-allocate the rescinded award amount to other qualified 
Applicant(s), if an Applicant fails to obtain in hand 100 percent of 
the required matching funds by March 14, 2008 (with required 
documentation of such receipt received by the Fund not later than March 
31, 2008), or to grant an extension of such matching funds deadline for 
specific Applicants selected to receive FA, if the Fund deems it 
appropriate. For any Applicant that demonstrates that it has less than 
100 percent of matching funds in hand or firmly committed as of the 
application deadline, the Fund will evaluate the Applicant's ability to 
raise the remaining matching funds by March 14, 2008.
    3. Matching Funds Terms Defined; Required Documentation.
    (a) ``Matching funds in-hand'' means that the Applicant has 
actually received the matching funds. If the matching funds are ``in-
hand,'' the Applicant must provide the Fund with acceptable written 
documentation of the source, form and amount of the Matching Funds 
(i.e., grant, loan, and equity investment). For a loan, the Applicant 
must provide the Fund with a copy of the loan agreement and promissory 
note. For a grant, the Applicant must provide the Fund with a copy of 
the grant letter or agreement. For an equity investment, the Applicant 
must provide the Fund with a copy of the stock certificate and any 
related shareholder agreement. Further, if the matching funds are ``in-
hand,'' the Applicant must provide the Fund with acceptable 
documentation that evidences its receipt of the matching funds 
proceeds, such as a copy of a check or a wire transfer statement.
    (b) ``Firmly committed matching funds'' means that the Applicant 
has entered into or received a legally binding commitment from the 
matching funds source that the matching funds will be disbursed to the 
Applicant. If the matching funds are ``firmly committed,'' the 
Applicant must provide the Fund with acceptable written documentation 
to evidence the source, form, and amount of the firm commitment (and, 
in the case of a loan, the terms thereof), as well as the anticipated 
date of disbursement of the committed funds.
    (c) The Fund may contact the matching funds source to discuss the 
matching funds and the documentation provided by the Awardee. If the 
Fund determines that any portion of the Applicant's matching funds is 
ineligible under this NOFA, the Fund, in its sole discretion, may 
permit the Applicant to offer alternative matching funds as a 
substitute for the ineligible matching funds; provided, however, that 
(i) the Applicant must provide acceptable alternative matching funds 
documentation within 5 business days of the Fund's request and (ii) the 
alternative matching funds documentation cannot increase the total 
amount of Financial Assistance requested by the Applicant.
    4. Special Rule for Insured Credit Unions. Please note that the 
Interim Rule allows an Insured Credit Union to use retained earnings to 
serve as matching funds for an FA grant in an amount equal to: (i) The 
increase in retained earnings that have occurred over the Applicant's 
most recent fiscal year; (ii) the annual average of such increases that 
have occurred over the Applicant's three most recent fiscal years; or 
(iii) the entire retained earnings that have been accumulated since the 
inception of the Applicant or such other financial measure as may be 
specified by the Fund. For purposes of this NOFA, if option (iii) is 
used, the Applicant must increase its member and/or non-member shares 
or total loans outstanding by an amount that is equal to the amount of 
retained earnings that is committed as matching funds. This amount must 
be raised by the end of the Awardee's second performance period, as set 
forth in its Assistance Agreement, and will be based on amounts 
reported in the Applicant's Audited or Reviewed Financial Statements or 
NCUA Form 5300 Call Report.
    5. Severe Constraints Exception to Matching Funds Requirement; 
Applicability to Applicants Located in FEMA-Designated Major Disaster 
Areas Created by Hurricanes Katrina and/or Rita: In the case of any 
Applicant that has an office that is located in, or that provides a 
significant volume of services or financing to residents of or 
businesses located in, any county that is within a ``major disaster 
area'' as declared by the Federal Emergency Management Agency (FEMA) as 
a result

[[Page 58665]]

of Hurricanes Katrina and/or Rita, and that has severe constraints on 
available sources of matching funds, such Applicant may be eligible for 
a ``severe constraints waiver'' (see section 1805.203 of the Interim 
Rule) if (i) it can demonstrate to the satisfaction of the Fund that an 
Investment Area(s) or Targeted Population(s) would not be adequately 
served without such a waiver and (ii) it projects to use the assistance 
to address issues resulting from Hurricanes Katrina and/or Rita (such 
as a significant volume of loan defaults) or to provide financial 
products, financial services, or Development Services to residents of 
or businesses located in any county that is within a ``major disaster 
area'' as declared by FEMA as a result of Hurricanes Katrina and/or 
Rita. If eligible for such a waiver, the Applicant may comply with the 
matching funds requirements of this NOFA as follows: (i) The matching 
funds requirement for such Applicant would be reduced to 50 percent 
(meaning, the Applicant must match 50 percent of the Fund's FA award 
rather than 100 percent), or (ii) such an Applicant may provide 
matching funds in alternative (meaning, non-monetary) forms if the 
Applicant has total assets of less than $100,000 at the time of the 
application deadline, serves non-metropolitan or rural areas, and is 
not requesting more than $25,000 in financial assistance from the Fund. 
In the case of item (i) of this paragraph, the Applicant must 
demonstrate that it has eligible matching funds equal to no less than 
25 percent of the amount of the FA award requested in- hand or firmly 
committed, on or after January 1, 2005 and on or before the application 
deadline. The Fund reserves the right to rescind all or a portion of an 
FA award and re-allocate the rescinded award amount to other qualified 
Applicant(s), if an Applicant fails to obtain in- hand 50 percent of 
the required matching funds by March 14, 2008 (with required 
documentation of such receipt received by the Fund not later than March 
31, 2008), or to grant an extension of such matching funds deadline for 
specific Applicants selected to receive FA, if the Fund deems it 
appropriate. For any such Applicant that demonstrates that it has less 
than 50 percent of matching funds in- hand or firmly committed as of 
the application deadline, the Fund will evaluate the Applicant's 
ability to raise the remaining matching funds by March 14, 2008. In the 
case of item (ii) of this paragraph, the NACA Program funding 
application contains further instructions on the type of documentation 
that the Applicant must provide as evidence that such match was 
received and its valuation. The Fund reserves the right, in its sole 
discretion, to disallow any such match for which adequate documentation 
or valuation is not provided.

IV. Application and Submission Information

A. Form of Application Submission

    Applicants may submit applications under this NOFA either (i) 
through Grants.gov or (ii) in paper form. Applications sent by 
facsimile or other form will not be accepted.

B. Grants.gov

    In compliance with Public Law 106-107 and Section 5(a) of the 
Federal Financial Assistance Management Improvement Act, the Fund is 
required to accept applications submitted through the Grants.gov 
electronic system. The Fund has posted to its Web site, at http://
www.cdfifund.gov, instructions for accessing and submitting an 
application through Grants.gov. Applicants are encouraged to start the 
registration process now at http://www.Grants.gov, as the process may 
take several weeks to fully complete. See the following link for 
information on getting started on Grants.gov: http://grants.gov/assets/
GrantsgovCoBrandBrochure8X11.pdf.

C. Paper Applications

    If an applicant is unable to submit an electronic application, it 
must submit to the Fund a request for a paper application using the 
CDFI Program Paper Application Submission Form, and the request must be 
received by 5 p.m. ET on January 12, 2007. The CDFI Program Paper 
Application Submission Form may be obtained from the Fund's Web site at 
http://www.cdfifund.gov or the form may be requested by e-mail to 
paper_request@cdfi.treas.gov or by facsimile to (202) 622-7754. The 
completed CDFI Program Paper Application Submission Form should be 
directed to the attention of the Fund's Chief Information Officer and 
must be sent by facsimile to (202) 622-7754. These are not toll free 
numbers. Paper applications must be submitted in the format and with 
the number of copies specified in the application instructions.

D. Application Content Requirements

    Detailed application content requirements are found in the 
application and guidance. Please note that, pursuant to OMB guidance 
(68 FR 38402), each Applicant must provide, as part of its application 
submission, a Dun and Bradstreet Data Universal Numbering System (DUNS) 
number. In addition, each application must include a valid and current 
Employer Identification Number (EIN), with a letter or other 
documentation from the Internal Revenue Service (IRS) confirming the 
Applicant's EIN. An application that does not include a valid EIN will 
be deemed incomplete. Incomplete applications will be rejected and 
returned to the sender. Applicants should allow sufficient time for the 
IRS and/or Dun and Bradstreet to respond to inquiries and/or requests 
for identification numbers. Once an application is submitted, the 
Applicant will not be allowed to change any element of the application. 
The preceding sentence does not limit the Fund's ability to contact an 
Applicant for the purpose of obtaining clarifying or confirming 
application information (such as DUNS number or EIN information).

E. MyCDFIFund Accounts

    All Applicants must register User and Organization accounts in 
myCDFIFund, the Fund's Internet-based interface. As myCDFIFund is the 
Fund's primary means of communication with Applicants and Awardees, 
organizations must make sure that they update the contact information 
in their myCDFIFund accounts. For more information on myCDFIFund, 
please see the ``Frequently Asked Questions'' link posted at https://
www.cdfifund.gov/myCDFI/Help/Help.asp.

F. Application Deadlines; Address for Paper Submissions; Late Delivery

    Applicants must submit all materials described in and required by 
the application by the applicable deadline.
    1. Application Deadlines: Applications must be received by the Fund 
at the address cited below and in accordance with the instructions 
provided on the Fund's Web site, by 5 p.m. ET on January 30, 2007.
    2. Address for Application Submission: A complete application must 
be received at the following address, by January 30, 2007: CDFI Fund 
Grants Manager, NACA Program, Bureau of Public Debt, 200 Third Street, 
Parkersburg, WV 26101. The telephone number to be used in conjunction 
with overnight delivery or mailings to this address is (304) 480-6088 
(this is not a toll free number). Any documents received in any other 
office, including the Fund's Washington, DC office, will be rejected 
and returned to the sender.
    3. Late Delivery: The Fund will neither accept a late application 
nor any portion of an application that is late; an application that is 
late, or for which any portion is late, will be rejected and

[[Page 58666]]

returned to the sender. An application, including the required signed 
signature page, and all required paper attachments, must be received by 
the applicable time and date set forth above. The Fund will not grant 
exceptions or waivers for late delivery of documents including, but not 
limited to, late delivery that is caused by third parties such as the 
United States Postal Service, couriers or overnight delivery services.

G. Intergovernmental Review

    Not applicable.

H. Funding Restrictions

    For allowable uses of FA proceeds, please see the Interim Rule at 
12 CFR 1805.301.

V. Application Review Information

A. Criteria

    The Fund will evaluate each application using numeric scores with 
respect to the following five sections:
    1. Market Analysis (25 points): The Fund will evaluate: (i) The 
extent and nature of the economic distress within the designated Target 
Market including the Applicant's understanding of its current and 
prospective customers; and (ii) the extent of demand for the 
Applicant's Financial Products, Development Services, and Financial 
Services within the designated Target Market. The Fund will give 
special consideration to any Applicant that has an office that is 
located in, or that provides a significant volume of services or 
financing to residents of or businesses located in, (i) any county that 
is within the area declared to be a ``major disaster'' by FEMA as a 
result of Hurricanes Katrina and/or Rita; and/or (ii) any state that 
has been declared a ``reception state'' by FEMA. The form and content 
of such special consideration will be further clarified in the NACA 
Program application.
    2. Business Strategy (25 points): The Fund will evaluate the 
Applicant's business strategy for addressing market demand and creating 
community development impact through: (i) Its Financial Products, 
Development Services, and/or Financial Services; (ii) its marketing, 
outreach, and delivery strategy; and (iii) the extent, quality and 
nature of coordination with other similar providers of Financial 
Products and Financial Services, government agencies, and other key 
community development entities within the Target Market. The Fund will 
take into consideration whether the Applicant is proposing to expand 
into a new Target Market.
    3. Community Development Performance and Effective Use (20 points): 
The Fund will evaluate (i) the Applicant's vision for its Target 
Market, specific outcomes or impacts for measuring progress towards 
achieving this vision, and the extent to which this award will allow it 
to achieve them; (ii) the Applicant's track record in providing 
Financial Products, Financial Services, and Development Services to the 
Target Market; (iii) the extent to which proposed activities will 
benefit the Target Market; (iv) the likelihood of achieving the impact 
projections, including the extent to which the activities proposed in 
the Comprehensive Business Plan will expand economic opportunities or 
promote community development within the designated Target Market by 
promoting homeownership, affordable housing development, job creation 
or retention, the provision of affordable financial services, and other 
community development objectives; and (v) the extent to which the 
Applicant will maximize the effective use of the Fund's resources. If 
an Applicant has a prior track record of serving Investment Areas(s) or 
Targeted Population(s), it must demonstrate that (i) it has a record of 
success in serving said Investment Area(s) or Targeted Population(s) 
and (ii) it will expand its operations into a new Investment Area or to 
serve a new Targeted Population, offer more products or services, or 
increase the volume of its current business.
    4. Management (20 points): The Fund will evaluate the Applicant's 
organizational capacity to achieve the objectives set forth in its 
Comprehensive Business Plan as well as its ability to use its award 
successfully and maintain compliance with its Assistance Agreement 
through an evaluation of: (i) The capacity, skills, size and experience 
of the Applicant's current and proposed Governing Board, management 
team, and key staff; and (ii) the Applicant's management controls and 
risk mitigation strategies including policies and procedures for 
portfolio underwriting and review, financial management, risk 
management, management information systems.
    5. Financial Health and Viability (10 points): The Fund will 
evaluate the Applicant's: (i) Audited or otherwise prepared Financial 
Statements; (ii) safety and soundness, including an analysis of the 
Applicant's financial services industry ratios (capital, liquidity, 
deployment and self-sufficiency) and ability to sustain positive net 
revenue; (iii) projected financial health, including its ability to 
raise operating support from sources other than the Fund and its 
capitalization strategy; and (iv) portfolio performance including loan 
delinquency, loan losses, and loan loss reserves. If an Applicant does 
not have 100 percent of the required matching funds in-hand (versus 
committed), the Applicant must demonstrate to the satisfaction of the 
Fund that it will raise the outstanding balance of matching funds 
within the time table set forth above.
    6. Technical Assistance Proposal: Any Applicant applying for a TA 
grant, either alone or in conjunction with a request for a FA award, 
must complete a Technical Assistance Proposal (TAP) as part of its 
application. The TAP consists of a summary of the organizational 
improvements needed to achieve the objectives of the application, a 
budget, and a description of the requested goods and/or services 
comprising the TA award request. The budget and accompanying narrative 
will be evaluated for the eligibility and appropriateness of the 
proposed uses of the TA award (described above). In addition, if the 
Applicant identifies a capacity-building need related to any of the 
evaluation criteria above (for example, if the Applicant requires a 
market need analysis or a community development impact tracking/
reporting system), the Fund will assess its plan to use the TA grant to 
address said needs. An Applicant that is not a Certified CDFI and that 
requests TA to address certification requirements, must explain how the 
requested TA grant will assist the Applicant in meeting the 
certification requirement. An Applicant that requests a TA grant for 
recurring activities must clearly describe the benefit that would 
accrue to its capacity or to its Target Market(s) (such as plans for 
expansion of staff, market, or products) as a result of the TA award. 
If the Applicant is a prior Fund Awardee, it must describe how it has 
used the prior assistance and explain the need for additional Fund 
dollars over and above such prior assistance. Such an Applicant also 
must describe the additional benefits that would accrue to its capacity 
or to the Target Market(s) if the Applicant receives another award from 
the Fund, such as plans for expansion of staff, market, or products. 
The Fund will not provide funding for the same activities funded in 
prior awards.

B. Review and Selection Process

    1. Eligibility and Completeness Review: The Fund will review each 
application to determine whether it is complete and the Applicant meets 
the eligibility requirements set forth above. An incomplete application 
will be rejected as incomplete and returned to

[[Page 58667]]

the sender. If an Applicant does not meet eligibility requirements, its 
application will be rejected and returned to the sender.
    2. Substantive Review: If an application is determined to be 
complete and the Applicant is determined to be eligible, the Fund will 
conduct the substantive review of the application in accordance with 
the criteria and procedures described in the Interim Rule, this NOFA 
and the application and guidance. Each FA application will be reviewed 
and scored by multiple readers. Each TA application will be read and 
scored by one reader. Readers may include Fund staff and other experts 
in community development finance and/or Native community development. 
As part of the review process, the Fund may contact the Applicant by 
telephone or through an on-site visit for the purpose of obtaining 
clarifying or confirming application information. The Applicant may be 
required to submit additional information to assist the Fund in its 
evaluation process. Such requests must be responded to within the time 
parameters set by the Fund.
    3. Application Scoring; Ranking:
    (a) Application Scoring: The Fund will evaluate each application on 
a 100-point scale, comprising the five criteria categories described 
above, and assign numeric scores. An Applicant must receive a minimum 
total score in order to be considered for an award. In the case of an 
Applicant that has previously received funding from the Fund through 
any Fund program, the Fund will consider and will deduct points for: 
(i) The Applicant's noncompliance with any active award or award that 
terminated in calendar year 2006, in meeting its performance goals, 
financial soundness covenants (if applicable), reporting deadlines and 
other requirements set forth in the assistance or award agreement(s) 
with the Fund during the Applicant's two complete fiscal years prior to 
the application deadline of this NOFA (generally FY 2005 and FY 2006); 
(ii) the Applicant's failure to make timely loan payments to the Fund 
during the Applicant's two complete fiscal years prior to the 
application deadline of this NOFA (if applicable); (iii) performance on 
any prior Assistance Agreement as part of the overall assessment of the 
Applicant's ability to carry out its Comprehensive Business Plan; and 
(iv) funds deobligated from a FY 2003, FY 2004 or FY 2005 FA award (if 
the Applicant is applying for a FA award under this NOFA) if (A) the 
amount of deobligated funds is at least $200,000 and (b) the 
deobligation occurred subsequent to the expiration of the period of 
award funds availability (generally, any funds deobligated after the 
September 30th following the year in which the award was made). Any 
award deobligations that result in a point deduction under an 
application submitted pursuant to either funding round of this NOFA 
will not be counted against any future application for FA through the 
NACA Program. All questions regarding outstanding reports or compliance 
should be directed to the Grants Manager by e-mail at 
grantsmanagement@cdfi.treas.gov; by telephone at (202) 622-8226; by 
facsimile at (202) 622-7754; or by mail to CDFI Fund, 601 13th Street, 
NW., Suite 200 South, Washington, DC 20005. These are not toll free 
numbers. The Fund will respond to reporting or compliance questions 
between the hours of 9 a.m. and 5 p.m. ET, starting the date of the 
publication of this NOFA through January 26, 2007. The Fund will not 
respond to reporting or compliance phone calls or e-mail inquiries that 
are received after 5 p.m. on January 26, 2007 until after the 
application deadline.
    (b) Ranking: The Fund then will rank the applications by their 
scores, from highest to lowest, based on each Applicant's scores for 
all five criteria categories added together.
    4. Award Selection: The Fund will make its final award selections 
based on the rank order of Applicants by their scores and the amount of 
funds available. Subject to the availability of funding, the Fund will 
award funding in the order of the ranking. In addition, the Fund may 
consider the institutional and geographic diversity of Applicants when 
making its funding decisions.
    5. Insured CDFIs: In the case of Insured Depository Institutions 
and Insured Credit Unions, the Fund will take into consideration the 
views of the Appropriate Federal Banking Agencies; in the case of 
State-Insured Credit Unions, the Fund may consult with the appropriate 
State banking agencies (or comparable entity). The Fund will not 
approve a FA award or a TA grant to any Insured Credit Union (other 
than a State-Insured Credit Union) or Insured Depository Institution 
Applicant that has a CAMEL rating that is higher than a ``3'' or for 
which its Appropriate Federal Banking Agency indicates it has safety 
and soundness concerns, unless the Appropriate Federal Banking Agency 
asserts, in writing, that: (i) An upgrade to a CAMEL 3 rating or better 
(or other improvement in status) is imminent and such upgrade is 
expected to occur not later than September 30, 2007 (for the FY 2007 
Funding Round) or within such other time frame deemed acceptable by the 
Fund, or (ii) the safety and soundness condition of the Applicant is 
adequate to undertake the activities for which the Applicant has 
requested a FA award and the obligations of an Assistance Agreement 
related to such a FA award.
    6. Award Notification: Each Applicant will be informed of the 
Fund's award decision either through a Notice of Award if selected for 
an award (see Notice of Award section, below) or written declination if 
not selected for an award. Each Applicant that is not selected for an 
award based on reasons other than completeness or eligibility issues 
may be offered a debriefing on the strengths and weaknesses of its 
application. This feedback will be provided in a format and within a 
timeframe to be determined by the Fund, based on available resources. 
The Fund will notify Awardees by e-mail or fax using the addresses 
maintained in the Awardee's myCDFIFund account (postal mailings will be 
used only in rare cases).
    7. The Fund reserves the right to reject an application if 
information (including administrative errors) comes to the attention of 
the Fund that either adversely affects an applicant's eligibility for 
an award, or adversely affects the Fund's evaluation or scoring of an 
application, or indicates fraud or mismanagement on the part of an 
Applicant. If the Fund determines that any portion of the application 
is incorrect in any material respect, the Fund reserves the right, in 
its sole discretion, to reject the application. The Fund reserves the 
right to change its eligibility and evaluation criteria and procedures, 
if the Fund deems it appropriate; if said changes materially affect the 
Fund's award decisions, the Fund will provide information regarding the 
changes through the Fund's Web site. There is no right to appeal the 
Fund's award decisions. The Fund's award decisions are final.

VI. Award Administration Information

A. Notice of Award

    The Fund will signify its conditional selection of an Applicant as 
an Awardee by delivering a signed Notice of Award to the Applicant. The 
Notice of Award will contain the general terms and conditions 
underlying the Fund's provision of assistance including, but not 
limited to, the requirement that the Awardee and the Fund enter into an 
Assistance Agreement. The Applicant must execute the Notice of Award 
and return it to the Fund. By executing a Notice of Award, the Awardee 
agrees,

[[Page 58668]]

among other things, that, if prior to entering into an Assistance 
Agreement with the Fund, information (including administrative error) 
comes to the attention of the Fund that either adversely affects the 
Awardee's eligibility for an award, or adversely affects the Fund's 
evaluation of the Awardee's application, or indicates fraud or 
mismanagement on the part of the Awardee, the Fund may, in its 
discretion and without advance notice to the Awardee, terminate the 
Notice of Award or take such other actions as it deems appropriate. 
Moreover, by executing a Notice of Award, the Awardee agrees that, if 
prior to entering into an Assistance Agreement with the Fund, the Fund 
determines that the Awardee is in default of any Assistance Agreement 
previously entered into with the Fund, the Fund may, in its discretion 
and without advance notice to the Awardee, either terminate the Notice 
of Award or take such other actions as it deems appropriate. The Fund 
reserves the right, in its sole discretion, to rescind its award if the 
Awardee fails to return the Notice of Award, signed by the authorized 
representative of the Awardee, along with any other requested 
documentation, within the deadline set by the Fund.
    1. Failure to meet reporting requirements: If an Awardee, or an 
entity that Controls the Awardee, is Controlled by the Awardee or 
shares common management officials with the Awardee (as determined by 
the Fund) is a prior Fund Awardee or allocatee under any Fund program 
and is not current on the reporting requirements set forth in the 
previously executed assistance, allocation or award agreement(s), as of 
the date of the Notice of Award, the Fund reserves the right, in its 
sole discretion, to delay entering into an Assistance Agreement until 
said prior Awardee or allocatee is current on the reporting 
requirements in the previously executed assistance, allocation or award 
agreement(s). Please note that the Fund only acknowledges the receipt 
of reports that are complete. As such, incomplete reports or reports 
that are deficient of required elements will not be recognized as 
having been received. If said prior Awardee or allocatee is unable to 
meet this requirement within the timeframe set by the Fund, the Fund 
reserves the right, in its sole discretion, to terminate and rescind 
the Notice of Award and the award made under this NOFA.
    2. Pending resolution of noncompliance: If an Applicant is a prior 
Awardee or allocatee under any Fund program and if: (i) It has 
submitted complete and timely reports to the Fund that demonstrate 
noncompliance with a previous assistance, award or allocation 
agreement; and (ii) the Fund has yet to make a final determination as 
to whether the entity is in default of its previous assistance, award 
or allocation agreement, the Fund reserves the right, in its sole 
discretion, to delay entering into an Assistance Agreement, pending 
full resolution, in the sole determination of the Fund, of the 
noncompliance. Further, if another entity that Controls the Applicant, 
is Controlled by the Applicant or shares common management officials 
with the Applicant (as determined by the Fund), is a prior Fund Awardee 
or allocatee and if such entity: (i) Has submitted complete and timely 
reports to the Fund that demonstrate noncompliance with a previous 
assistance, award or allocation agreement; and (ii) the Fund has yet to 
make a final determination as to whether the entity is in default of 
its previous assistance, award or allocation agreement, the Fund 
reserves the right, in its sole discretion, to delay entering into an 
Assistance Agreement, pending full resolution, in the sole 
determination of the Fund, of the noncompliance. If the prior Awardee 
or allocatee in question is unable to satisfactorily resolve the issues 
of noncompliance, in the sole determination of the Fund, the Fund 
reserves the right, in its sole discretion, to terminate and rescind 
the Notice of Award and the award made under this NOFA.
    3. Default status: If, at any time prior to entering into an 
Assistance Agreement through this NOFA, the Fund has made a final 
determination that an Awardee that is a prior Fund Awardee or allocatee 
under any Fund program is in default of a previously executed 
assistance, allocation or award agreement(s), the Fund reserves the 
right, in its sole discretion, to delay entering into an Assistance 
Agreement, until said prior Awardee or allocatee has submitted a 
complete and timely report demonstrating full compliance with said 
agreement within a timeframe set by the Fund. Further, if at any time 
prior to entering into an Assistance Agreement through this NOFA, the 
Fund has made a final determination that another entity that Controls 
the Awardee, is Controlled by the applicant or shares common management 
officials with the Awardee (as determined by the Fund), is a prior Fund 
Awardee or allocatee under any Fund program, and is in default of a 
previously executed assistance, allocation or award agreement(s), the 
Fund reserves the right, in its sole discretion, to delay entering into 
an Assistance Agreement, until said prior Awardee or allocatee has 
submitted a complete and timely report demonstrating full compliance 
with said agreement within a timeframe set by the Fund. If said prior 
Awardee or allocatee is unable to meet this requirement, the Fund 
reserves the right, in its sole discretion, to terminate and rescind 
the Notice of Award and the award made under this NOFA.
    4. Termination in default: If (i) the Fund has made a final 
determination that an Awardee that is a prior Fund Awardee or allocatee 
under any Fund program whose award or allocation was terminated in 
default of such prior agreement; and (ii) the final reporting period 
end date for the applicable terminated agreement falls in Calendar Year 
2006, the Fund reserves the right, in its sole discretion, to delay 
entering into an Assistance Agreement. Further, if (i) the Fund has 
made a final determination that another entity that Controls the 
Awardee, is Controlled by the Awardee or shares common management 
officials with the Awardee (as determined by the Fund), is a prior Fund 
Awardee or allocatee under any Fund program whose award or allocation 
was terminated in default of such prior agreement; and (ii) the final 
reporting period end date for the applicable terminated agreement falls 
in such entity's 2005 or 2006 fiscal year, the Fund reserves the right, 
in its sole discretion, to delay entering into an Assistance Agreement.
    5. Deobligated awards: An Awardee that receives a FA award pursuant 
to this NOFA for which an amount over $200,000 is deobligated by the 
Fund subsequent to the expiration of the period of award funds 
availability (generally, any funds deobligated after the September 30th 
following the year in which the award was made) but within the 12 
months prior to the applicable application deadline, may not apply for 
a new award through another NOFA for one CDFI or NACA Program funding 
round after the date of said deobligation.

B. Assistance Agreement

    Each Applicant that is selected to receive an award under this NOFA 
must enter into an Assistance Agreement with the Fund in order to 
receive disbursement of award proceeds. The Assistance Agreement will 
set forth certain required terms and conditions of the award, which 
will include, but not be limited to: (i) The amount of the award; (ii) 
the type of award; (iii) the approved uses of the award; (iv) the 
approved Target Market to which the

[[Page 58669]]

funded activity must be targeted; (v) performance goals and measures; 
and (vi) reporting requirements for all Awardees. FA and FA/TA 
Assistance Agreements under this NOFA generally will have three-year 
performance periods; TA-only Assistance Agreements generally will have 
two-year performance periods.
    The Fund reserves the right, in its sole discretion, to terminate 
the Notice of Award and rescind an award if the Awardee fails to return 
the Assistance Agreement, signed by the authorized representative of 
the Awardee, and/or provide the Fund with any other requested 
documentation, within the deadlines set by the Fund.
    In addition to entering into an Assistance Agreement, each Awardee 
that receives an award either (i) in the form of a loan, equity 
investment, credit union shares/deposits, or secondary capital, in any 
amount, or (ii) a FA grant in an amount greater than $500,000, must 
furnish to the Fund an opinion from its legal counsel, the content of 
which will be specified in the Assistance Agreement, to include, among 
other matters, an opinion that the Awardee: (A) is duly formed and in 
good standing in the jurisdiction in which it was formed and/or 
operates; (B) has the authority to enter into the Assistance Agreement 
and undertake the activities that are specified therein; and (C) has no 
pending or threatened litigation that would materially affect its 
ability to enter into and carry out the activities specified in the 
Assistance Agreement. Each other Awardee must provide the Fund with a 
good standing certificate (or equivalent documentation) from its state 
(or jurisdiction) of incorporation.

C. Reporting

    1. Reporting requirements: The Fund will collect information, on at 
least an annual basis, from each Awardee including, but not limited to, 
an Annual Report that comprises the following components: (i) Financial 
Report (not required of Sponsoring Entities); (ii) Institution Level 
Report; (iii) Transaction Level Report (for Awardees receiving FA); 
(iv) Financial Status Report (for Awardees receiving TA); (v) Uses of 
Financial Assistance and Matching Funds Report (for Awardees receiving 
FA awards); (vi) Explanation of Noncompliance (as applicable); and 
(vii) such other information as the Fund may require. Each Awardee is 
responsible for the timely and complete submission of the Annual 
Report, even if all or a portion of the documents actually is completed 
by another entity or signatory to the Assistance Agreement. If such 
other entities or signatories are required to provide Institution Level 
Reports, Transaction Level Reports, Financial Reports, or other 
documentation that the Fund may require, the Awardee is responsible for 
ensuring that the information is submitted timely and complete. The 
Fund reserves the right to contact such additional signatories to the 
Assistance Agreement and require that additional information and 
documentation be provided. The Fund will use such information to 
monitor each Awardee's compliance with the requirements set forth in 
the Assistance Agreement and to assess the impact of the NACA Program. 
The Institution Level Report and the Transaction Level Report must be 
submitted through the Fund's Web-based data collection system, the 
Community Investment Impact System (CIIS). The Financial Report may be 
submitted through CIIS, or by fax or mail to the Fund. All other 
components of the Annual Report may be submitted to the Fund in paper 
form or other form to be determined by the Fund. The Fund reserves the 
right, in its sole discretion, to modify these reporting requirements 
if it determines it to be appropriate and necessary; however, such 
reporting requirements will be modified only after notice to Awardees.
    2. Accounting: The Fund will require each Awardee that receives FA 
and TA awards through this NOFA to account for and track the use of 
said FA and TA awards. This means that for every dollar of FA and TA 
awards received from the Fund, the Awardee will be required to inform 
the Fund of its uses. This will require Awardees to establish separate 
administrative and accounting controls, subject to the applicable OMB 
Circulars. The Fund will provide guidance to Awardees outlining the 
format and content of the information to be provided on an annual 
basis, outlining and describing how the funds were used. Each Awardee 
that receives a FA award must establish a separate bank account for the 
FA funds and provide the Fund with the required complete and accurate 
Automated Clearinghouse (ACH) form for that separate bank account prior 
to award closing and disbursement.

VII. Agency Contacts

    The Fund will respond to questions and provide support concerning 
this NOFA and the funding application between the hours of 9 a.m. and 5 
p.m. ET, starting the date of the publication of this NOFA through 
January 26, 2007. The Fund will not respond to questions or provide 
support concerning the application that are received after 5 p.m. ET on 
said date, until after the funding application deadline. Applications 
and other information regarding the Fund and its programs may be 
obtained from the Fund's Web site at http://www.cdfifund.gov. The Fund 
will post on its Web site responses to questions of general 
applicability regarding the CDFI Program.

A. Information Technology Support

    Technical support can be obtained by calling (202) 622-2455 or by 
e-mail at ithelpdesk@cdfi.treas.gov. People who have visual or mobility 
impairments that prevent them from creating an Investment Area map 
using the Fund's Web site should call (202) 622-2455 for assistance. 
These are not toll free numbers.

B. Programmatic Support

    If you have any questions about the programmatic requirements of 
this NOFA, contact the Fund's Program office by e-mail at 
cdfihelp@cdfi.treas.gov, by telephone at (202) 622-6355, by facsimile 
at (202) 622-7754, or by mail at CDFI Fund, 601 13th Street, NW., Suite 
200 South, Washington, DC 20005. These are not toll-free numbers.

C. Grants Management Support