Inviting Applications for the Rural Economic Development Loan and Grant Programs for Fiscal Year 2016, 14415-14419 [2016-06034]

Agencies

• DEPARTMENT OF AGRICULTURE
• Rural Business-Cooperative Service

[Federal Register Volume 81, Number 52 (Thursday, March 17, 2016)]
[Notices]
[Pages 14415-14419]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-06034]


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DEPARTMENT OF AGRICULTURE

Rural Business-Cooperative Service


Inviting Applications for the Rural Economic Development Loan and 
Grant Programs for Fiscal Year 2016

AGENCY: Rural Business-Cooperative Service, USDA.

ACTION: Notice.

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SUMMARY: This notice is to invite applications for loans and grants 
under the Rural Economic Development Loan and Grant (REDLG) programs 
for fiscal year (FY) 2016. Funding to support up to $37 million in 
loans and $11 million in grants is currently available. The commitment 
of program dollars will be made to applicants of selected responses 
that have fulfilled the necessary requirements for obligation.
    All applicants are responsible for any expenses incurred in 
developing their applications.

DATES: The deadlines for completed applications to be received in the 
USDA Rural Development State Office no later than 4:30 p.m. (local 
time) are: Third Quarter, March 31, 2016; and Fourth Quarter, June 30, 
2016.

ADDRESSES: Submit applications in paper format to the USDA Rural 
Development State Office for the State where the project is located. A 
list of the USDA Rural Development State Office contacts can be found 
at: https://

[[Page 14416]]

www.rurdev.usda.gov/StateOfficeAddresses.html.

FOR FURTHER INFORMATION CONTACT: Cindy Mason at (202) 690-1433, 
Cindy.Mason@wdc.usda.gov, and Kristi Kubista-Hovis at (202) 720-1400, 
Kristi.Kubista-Hovis@wdc.usda.gov. Please contact the USDA Rural 
Development State Office in which the project will be located.

SUPPLEMENTARY INFORMATION:

Overview

    Solicitation Opportunity Type: Rural Economic Development Loans and 
Grants.
    Announcement Type: Initial Announcement.
    Catalog of Federal Domestic Assistance Number: 10.854.
    Dates: The deadline for completed applications to be received in 
the USDA Rural Development State Office no later than 4:30 p.m. (local 
time) are: Third Quarter, March 31, 2016; and Fourth Quarter, June 30, 
2016.

A. Program Description

    1. Purpose of the Program. The purpose of the program is to promote 
rural economic development and job creation projects.
    2. Statutory Authority. These programs are authorized under 7 
U.S.C. 940c and 7 CFR part 4280, subpart A. Assistance provided to 
rural areas, as defined, under this program may include business 
startup costs, business expansion, business incubators, technical 
assistance feasibility studies, advanced telecommunications services 
and computer networks for medical, educational, and job training 
services, and community facilities projects for economic development.
    Awards under the REDLG programs will be made on a competitive basis 
using specific selection criteria contained in 7 CFR part 4280, subpart 
A. Information required to be in the application package includes 
Standard Form (SF) 424, ``Application for Federal Assistance;'' a 
Resolution of the Board of Directors; AD-1047, ``Debarment/Suspension 
Certification;'' AD-1049 ``Certification Regarding Drug-Free Workplace 
Requirements;'' SF LLL, Restrictions on Lobbying; RD 400-1, ``Equal 
Opportunity Agreement;'' RD 400-4, ``Assurance Agreement;'' Assurance 
Statement for the Uniform Act; Seismic Certification (if construction); 
paperwork required in accordance with 7 CFR 1940, subpart G, 
``Environmental Program.'' If the proposal involves new construction; 
large increases in employment; hazardous waste; a change in use, size, 
capacity, purpose or location from an original facility; or is publicly 
controversial, the following is required: RD 1940-20, ``Request for 
Environmental Information;'' RUS Form 7, ``Financial and Statistical 
Report;'' and RUS Form 7a, ``Investments, Loan Guarantees, and Loans,'' 
or similar information; and written narrative of project description. 
Applications will be tentatively scored by the State Offices and 
submitted to the National Office for review.
    3. Definition of Terms. The definitions applicable to this notice 
are published at 7 CFR 4280.3.
    4. Application Awards. The Agency will review, evaluate, and score 
applications received in response to this notice based on the 
provisions found in 7 CFR part 4280, subpart A, and as indicated in 
this notice. However, the Agency advises all interested parties that 
the applicant bears the burden in preparing and submitting an 
application in response to this notice whether or not funding is 
appropriated for these programs in FY 2016.

B. Federal Award Information

    Type of Awards: Loans and Grants.
    Fiscal Year Funds: FY 2016.
    Available Funds: Loans: $37 million ; Grants: $11 million.
    Maximum Award: The Agency anticipates the following maximum amounts 
per award: Loans--$1,000,000; Grants--$300,000.
    Award Dates: Second Quarter, March 16, 2016; Third Quarter, June 
15, 2016; and Fourth Quarter, September 15, 2016.
    Performance Period: October 1, 2015, through September 30, 2016.
    Renewal or Supplemental Awards: None.

C. Eligibility Information

1. Eligible Applicants

    Loans and grants may be made to any entity that is identified by 
USDA Rural Development as an eligible borrower under the Rural 
Electrification Act of 1936, as amended (Act). In accordance with 7 CFR 
4280.13, applicants that are not delinquent on any Federal debt or 
otherwise disqualified from participation in these programs are 
eligible to apply. An applicant must be eligible under 7 U.S.C. 940c. 
Notwithstanding any other provision of law, any former Rural Utilities 
Service borrower that has repaid or prepaid an insured, direct, or 
guaranteed loan under the Act, or any not-for-profit utility that is 
eligible to receive an insured or direct loan under such Act shall be 
eligible for assistance under section 313(b)(2)(B) of such Act in the 
same manner as a borrower under such Act. All other restrictions in 
this notice will apply.
    The Agency requires the following information to make an 
eligibility determination. These applications must include, but are not 
limited to, the following:
    (a) An original and one copy of SF 424, ``Application for Federal 
Assistance (For Non-construction);''
    (b) Copies of applicant's organizational documents showing the 
applicant's legal existence and authority to perform the activities 
under the grant;
    (c) A proposed scope of work, including a description of the 
proposed project, details of the proposed activities to be accomplished 
and timeframes for completion of each task, the number of months 
duration of the project, and the estimated time it will take from grant 
approval to beginning of project implementation;
    (d) A written narrative that includes, at a minimum, the following 
items:
    (i) An explanation of why the project is needed, the benefits of 
the proposed project, and how the project meets the grant eligible 
purposes;
    (ii) Area to be served, identifying each governmental unit, i.e., 
town, county, etc., to be affected by the project;
    (iii) Description of how the project will coordinate Economic 
Development activities with other Economic Development activities 
within the project area;
    (iv) Businesses to be assisted, if appropriate, and Economic 
Development to be accomplished;
    (v) An explanation of how the proposed project will result in newly 
created, increased, or supported jobs in the area and the number of 
projected new and supported jobs within the next 3 years;
    (vi) A description of the applicant's demonstrated capability and 
experience in providing the proposed project assistance, including 
experience of key staff members and persons who will be providing the 
proposed project activities and managing the project;
    (vii) The method and rationale used to select the areas and 
businesses that will receive the service;
    (viii) A brief description of how the work will be performed, 
including whether organizational staff or consultants or contractors 
will be used; and
    (ix) Other information the Agency may request to assist it in 
making a grant award determination.
    (e) The latest 3 years of financial information to show the 
applicant's financial capacity to carry out the

[[Page 14417]]

proposed work. If the applicant is less than 3 years old, at a minimum, 
the information should include all balance sheet(s), income 
statement(s) and cash flow statement(s). A current audited report is 
required if available;
    (f) Documentation regarding the availability and amount of other 
funds to be used in conjunction with the funds from REDLG; and
    (g) A budget which includes salaries, fringe benefits, consultant 
costs, indirect costs, and other appropriate direct costs for the 
project.

2. Cost Sharing or Matching

    For loans, either the Ultimate Recipient or the Intermediary must 
provide supplemental funds for the project equal to at least 20 percent 
of the loan to the Intermediary. For grants, the Intermediary must 
establish a Revolving Loan Fund and contribute an amount equal to at 
least 20 percent of the Grant. The supplemental contribution must come 
from Intermediary's funds which may not be from other Federal Grants, 
unless permitted by law.

3. Other

    Applications will only be accepted for projects that promote rural 
economic development and job creation.
    There are no ``responsiveness'' or ``threshold'' eligibility 
criteria for these loans and grants. There is no limit on the number of 
applications an applicant may submit under this announcement. In 
addition to the forms listed under the program description, Form AD 
3030 ``Representations Regulation Felony Conviction and Tax Delinquent 
Status for Corporate Applicants,'' must be completed in the 
affirmative.
    None of the funds made available by this or any other Act may be 
used to enter into a contract, memorandum of understanding, or 
cooperative agreement with, make a grant to, or provide a loan or loan 
guarantee to, any corporation that has any unpaid Federal tax liability 
that has been assessed, for which all judicial and administrative 
remedies have been exhausted or have lapsed, and that is not being paid 
in a timely manner pursuant to an agreement with the authority 
responsible for collecting the tax liability, where the awarding agency 
is aware of the unpaid tax liability, unless a Federal agency has 
considered suspension or debarment of the corporation and has made a 
determination that this further action is not necessary to protect the 
interests of the Government.
    None of the funds made available by this or any other Act may be 
used to enter into a contract, memorandum of understanding, or 
cooperative agreement with, make a grant to, or provide a loan or loan 
guarantee to, any corporation that was convicted of a felony criminal 
violation under any Federal law within the preceding 24 months, where 
the awarding agency is aware of the conviction, unless a Federal agency 
has considered suspension or debarment of the corporation and has made 
a determination that this further action is not necessary to protect 
the interests of the Government.

4. Completeness Eligibility

    Applications will not be considered for funding if they do not 
provide sufficient information to determine eligibility or are missing 
required elements.

D. Application and Submission Information

1. Address To Request Application Package

    For further information, entities wishing to apply for assistance 
should contact the USDA Rural Development State Office provided in the 
ADDRESSES section of this notice to obtain copies of the application 
package.
    Applications must be submitted in paper format. Applications 
submitted to a Rural Development State Office must be received by the 
closing date and local time deadline.
    All applicants must have a Dun and Bradstreet Data Universal 
Numbering System (DUNS) number which can be obtained at no cost via a 
toll-free request line at (866) 705-5711 or at https://fedgov.dnb.com/webform. Each applicant (unless the applicant is an individual or 
Federal awarding agency that is exempt from the requirements under 2 
CFR 25.110(b) or (c) or has an exception approved by the Federal 
awarding agency under 2 CFR 25.110(d)) is required to: (i) Be 
registered in the System for Award Management (SAM) before submitting 
its application; (ii) provide a valid unique entity identifier in its 
application; and (iii) continue to maintain an active SAM registration 
with current information at all times during which it has an active 
Federal award or an application or plan under consideration by a 
Federal awarding agency. The Federal awarding agency may not make a 
Federal award to an applicant until the applicant has complied with all 
applicable unique entity identifier and SAM requirements and, if an 
applicant has not fully complied with the requirements by the time the 
Federal awarding agency is ready to make a Federal award, the Federal 
awarding agency may determine that the applicant is not qualified to 
receive a Federal award and use that determination as a basis for 
making a Federal award to another applicant.
    Please note that applicants must locate the downloadable 
application package for this program by the Catalog of Federal Domestic 
Assistance Number or FedGrants Funding Opportunity Number, which can be 
found at https://www.grants.gov.

2. Content and Form of Application Submission

    An application must contain all of the required elements. Each 
selection priority criterion outlined in 7 CFR 4280.42(b) must be 
addressed in the application. Failure to address any of the criterion 
will result in a zero-point score for that criterion and will impact 
the overall evaluation of the application. Copies of 7 CFR part 4280, 
subpart A, will be provided to any interested applicant making a 
request to a Rural Development State Office. An original copy of the 
application must be filed with the Rural Development State Office for 
the State where the Intermediary is located.
    The applicant documentation and forms needed for a complete 
application are located in the Program Description section of this 
notice, and 7 CFR part 4280, subpart A. There are no specific formats 
required per this notice, and applicants may request forms and 
addresses from the ADDRESSES section of this notice.
    (a) There are no specific limitations on the number of pages or 
other formatting requirements other than those described in the Program 
Description section.
    (b) There are no specific limitations on the number of pages, font 
size and type face, margins, paper size, number of copies, and the 
sequence or assembly requirements.
    (c) The component pieces of this application should contain 
original signatures on the original application.

3. Submission Dates and Times

    (a) Application Deadline Dates: No later than 4:30 p.m. (local 
time) on: Third Quarter, March 31, 2016; and Fourth Quarter, June 30, 
2016.
    Explanation of Dates: Applications must be in the USDA Rural 
Development State Office by the dates and times as indicated above. If 
the due date falls on a Saturday, Sunday, or Federal holiday, the 
application is due the next business day.
    (b) The deadline date means that the completed application package 
must be received in the USDA Rural

[[Page 14418]]

Development State Office by the deadline date and time established 
above. All application documents identified in this notice are 
required.
    (c) If completed applications are not received by the deadline 
established above, the application will neither be reviewed nor 
considered under any circumstances.
    (d) The Agency will determine the application receipt date based on 
the actual date postmarked.
    (e) If the grantee has a previously approved indirect cost rate, it 
is permissible, otherwise, the applicant may elect to charge the 10 
percent indirect cost permitted under 2 CFR 200.414(f). Due to the time 
required to evaluate Indirect Cost Rates, it is likely that all funds 
will be awarded by the time the Indirect Cost Rate is determined. No 
foreign travel is permitted. Pre-Federal award costs will only be 
permitted with prior written approval by the Agency.
    (f) Applicants must submit applications in hard copy format as 
previously indicated in the Application and Submission Information 
section of this notice. If the applicant wishes to hand deliver its 
application, the addresses for these deliveries can be located in the 
ADDRESSES section of this notice.
    (g) If you require alternative means of communication for program 
information (e.g., Braille, large print, audiotape, etc.) please 
contact USDA's TARGET Center at (202) 720-2600 (voice and TDD).

E. Application Review Information

1. Criteria

    All eligible and complete applications will be evaluated and scored 
based on the selection criteria and weights contained in 7 CFR part 
4280, subpart A. Failure to address any one of the criteria by the 
application deadline will result in the application being determined 
ineligible, and the application will not be considered for funding.

2. Review and Selection Process

    The State Offices will review applications to determine if they are 
eligible for assistance based on requirements contained in 7 CFR part 
4280, subpart A. If determined eligible, your application will be 
submitted to the National Office. Funding of projects is subject to the 
Intermediary's satisfactory submission of the additional items required 
by that subpart and the USDA Rural Development Letter of Conditions. 
The Agency reserves the right to award additional discretionary points 
under 7 CFR 4280.43.
    In order to distribute funds among the greatest number of projects 
possible, applications will be reviewed, prioritized, and funded by 
ranking each State's highest scoring project in highest to lowest score 
order. The highest scoring project from each State will be considered 
that State's Priority One project. Priority One projects will be ranked 
according to score from highest to lowest. The second highest scoring 
project from each State will be considered the State's Priority Two 
project. Priority Two projects will be ranked according to score from 
highest to lowest and so forth until all projects have been scored and 
ranked in priority order. All Priority One projects will be funded 
before any Priority Two projects and so forth until funds are depleted, 
so as to ensure broad geographic distribution of funding.

F. Federal Award Administration Information

1. Federal Award Notices

    Successful applicants will receive notification for funding from 
the Rural Development State Office. Applicants must comply with all 
applicable statutes and regulations before the loan/grant award can be 
approved. Provided the application and eligibility requirements have 
not changed, an application not selected will be reconsidered in three 
subsequent quarterly funding competitions for a total of four 
competitions. If an application is withdrawn, it can be resubmitted and 
will be evaluated as a new application.

2. Administrative and National Policy Requirements

    Additional requirements that apply to intermediaries/grantees 
selected for these programs can be found in 7 CFR part 4280, subpart A. 
Awards are subject to USDA grant regulations at 2 CFR chapter IV which 
incorporated the Office of Management and Budget (OMB) regulations 2 
CFR part 200.
    All successful applicants will be notified by letter which will 
include a letter of conditions, and a letter of intent to meet the 
conditions. This letter is not an authorization to begin performance. 
If the applicant wishes to consider beginning performance prior to the 
loan or grant being officially closed, all pre-award costs must be 
approved in writing and in advance by the Agency. The loan or grant 
will be considered officially awarded when all conditions in the Letter 
of Conditions have been met and the Agency obligates the funding for 
the project.
    Additional requirements that apply to intermediaries or grantees 
selected for these programs can be found in 7 CFR part 4280, subpart A; 
the Grants and Agreements regulations of the U.S. Department of 
Agriculture codified in 2 CFR 400.1 to 400.18, and successor 
regulations to these parts.
    In addition, all recipients of Federal financial assistance are 
required to report information about first-tier sub-awards and 
executive compensation (see 2 CFR part 170). You will be required to 
have the necessary processes and systems in place to comply with the 
Federal Funding Accountability and Transparency Act of 2006 (Pub. L. 
109-282) reporting requirements (see 2 CFR 170.200(b), unless you are 
exempt under 2 CFR 170.110(b)).
    The following additional requirements apply to intermediaries/
grantees selected for these programs:
    (a) Form RD 4280-2 ``Rural Business-Cooperative Service Financial 
Assistance Agreement.''
    (b) Letter of Conditions
    (c) Form RD 1940-1, ``Request for Obligation of Funds.''
    (d) Form RD 1942-46, ``Letter of Intent To Meet Conditions.''
    (e) Form AD-1047, ``Certification Regarding Debarment, Suspension, 
and Other Responsibility Matters-Primary Covered Transactions.''
    (f) Form AD-1048 ``Certification Regarding Debarment, Suspension, 
Ineligibility and voluntary Exclusion-Lower Tier Covered 
Transactions.''
    (g) Form AD-1049, ``Certification Regarding a Drug-Free Workplace 
Requirement (Grants).''
    (h) Form AD-3031, ``Assurance Regarding Felony Conviction or Tax 
Delinquent Status for Corporate Applicants.'' Must be signed by 
corporate applicants who receive an award under this notice.
    (i) Form RD 400-4, ``Assurance Agreement.''
    (j) SF LLL, ``Disclosure of Lobbying Activities,'' if applicable.
    (k) Use Form SF 270, ``Request for Advance or Reimbursement.''

3. Reporting

    (a) A Financial Status Report and a project performance activity 
report will be required of all grantees on a quarterly basis until 
initial funds are expended and yearly thereafter, if applicable, based 
on the Federal fiscal year. The grantee will cause the project to be 
completed within the total sums available to it in accordance with the 
Scope of Work and any necessary modifications thereof prepared by the 
grantee and approved by the Agency. A final project performance report 
will be required with the final Financial Status Report. The final 
report may serve as the

[[Page 14419]]

last quarterly report. The final report must provide complete 
information regarding the jobs created and supported as a result of the 
grant if applicable. Grantees must continuously monitor performance to 
ensure that time schedules are being met, projected work by time 
periods is being accomplished, and other performance objectives are 
being achieved. Grantees must submit an original of each report to the 
Agency no later than 30 days after the end of the quarter. The project 
performance reports must include, but not be limited to, the following:
    (1) A comparison of actual accomplishments to the objectives 
established for that period;
    (2) Problems, delays, or adverse conditions, if any, which have 
affected or will affect attainment of overall project objectives, 
prevent meeting time schedules or objectives, or preclude the 
attainment of particular project work elements doing established time 
periods. This disclosure shall be accompanied by a statement of the 
action taken or planned to resolve the situation; and
    (3) Objectives and timetable established for the next reporting 
period.
    (4) Any special reporting requirements, such as jobs supported and 
created, businesses assisted, or economic development which results in 
improvements in median household incomes, and any other specific 
requirements, should be placed in the reporting section of the Letter 
of Conditions.
    (5) Within 90 after the conclusion of the project, the grantee will 
provide a final project evaluation report. The last quarterly payment 
will be withheld until the final report is received and approved by the 
Agency. Even though the grantee may request reimbursement on a monthly 
basis, the last 3 months of reimbursements will be withheld until a 
final report, project performance, and financial status report are 
received and approved by the Agency.
    In addition to any reports required by 2 CFR part 200 and 2 CFR 
400.1 to 400.18, the intermediary/grantee must provide reports as 
required by 7 CFR part 4280, subpart A.

G. Federal Awarding Agency Contact(s)

    For general questions about this announcement, please contact your 
USDA Rural Development State Office provided in the ADDRESSES section 
of this notice.

H. Other Information

VIII. Paperwork Reduction Act

    In accordance with the Paperwork Reduction, the paperwork burden 
has been cleared by OMB.
    Federal Funding Accountability and Transparency Act
    All applicants, in accordance with 2 CFR part 25, must have a DUNS 
number, which can be obtained at no cost via a toll-free request line 
at (866) 705-5711 or online at https://fedgov.dnb.com/webform. 
Similarly, all applicants must be registered in SAM prior to submitting 
an application. Applicants may register for the SAM at https://www.sam.gov. All recipients of Federal financial grant assistance are 
required to report information about first-tier sub-awards and 
executive total compensation in accordance with 2 CFR part 170.

I. Nondiscrimination Statement

    The U.S. Department of Agriculture (USDA) prohibits discrimination 
against its customers, employees, and applicants for employment on the 
bases of race, color, national origin, age, disability, sex, gender 
identity, religion, reprisal, and where applicable, political beliefs, 
marital status, familial or parental status, sexual orientation, or all 
or part of an individual's income is derived from any public assistance 
program, or protected genetic information in employment or in any 
program or activity conducted or funded by the Department. (Not all 
prohibited bases will apply to all programs and/or employment 
activities.)
    If you wish to file a Civil Rights program complaint of 
discrimination, complete the USDA Program Discrimination Complaint Form 
(PDF), found online at https://www.ascr.usda.gov/complaint_filing_cust.html, or at any USDA office, or call (866) 632-
9992 to request the form. You may also write a letter containing all of 
the information requested in the form. Send your completed complaint 
form or letter to us by mail at U.S. Department of Agriculture, 
Director, Office of Adjudication, 1400 Independence Avenue SW., 
Washington, DC 20250-9410, by fax (202) 690-7442 or email at 
program.intake@usda.gov.
    Individuals who are deaf, hard of hearing, or have speech 
disabilities and wish to file either an EEO or program complaint may 
contact USDA through the Federal Relay Service at (800) 877-8339 or 
(800) 845-6136 (in Spanish).
    Persons with disabilities, who wish to file a program complaint, 
please see information above on how to contact us by mail directly or 
by email. If you require alternative means of communication for program 
information (e.g., Braille, large print, audiotape, etc.) please 
contact USDA's TARGET Center at (202) 720-2600 (voice and TDD).

    Dated: March 10, 2016.
Samuel H. Rikkers,
Administrator, Rural Business-Cooperative Service.
[FR Doc. 2016-06034 Filed 3-16-16; 8:45 am]
 BILLING CODE 3410-XY-P