FEDERAL AGENCY:
RURAL BUSINESS-COOPERATIVE SERVICE, DEPARTMENT OF AGRICULTURE
AUTHORIZATION:
Federal Agriculture Improvement and Reform Act of 1996, Section 741, Public Law
104-127.
OBJECTIVES:
To promote sustainable economic development in rural communities with exceptional
needs.
TYPES OF ASSISTANCE:
Project Grants.
USES AND USE RESTRICTIONS:
Grant funds may be used to assist in the economic development of rural areas by
providing technical assistance, training, and planning for business and economic
development.
ELIGIBILITY REQUIREMENTS:
Applicant Eligibility: Grants may be made to public bodies,
nonprofit corporations, Indian tribes on Federal or State reservations or other Federally
recognized tribal groups, and cooperatives with members that are primarily rural residents
and that conduct activities for the mutual benefit of the members.
Beneficiary Eligibility: Rural communities and businesses in
rural areas.
Credentials/Documentation: Evidence of legal capacity.
Evidence of financial strength and expertise in activities such as proposed in the
application, sufficient to ensure accomplishment of the activities and objectives
described in the application. This program is excluded from coverage under OMB Circular
No. A-87.
APPLICATION AND AWARD PROCESS:
Preapplication Coordination: This program is subject to
coverage under E.O. 12372, "Intergovernmental Review of Federal Programs." An
applicant should consult the office or official designated as the single point of contact
in the State for more information on the process the State requires to be followed in
applying for assistance, if the State has selected the program for review. This program is
subject to environmental review requirements; however, most applications are expected to
qualify as categorical exclusions.
Application Procedure: Potential applicants should file
Standard Form 424.1, "Application for Federal Assistance (For Nonconstruction),"
and additional material required by Agency regulations with the USDA Rural Development
State Office. The application will include a written narrative and scope of work. More
details are available from the Headquarters Office or any Rural Development State Office.
Award Procedure: Applications will be given a priority score
in accordance with the criteria set out in the program regulations.
Deadlines: None.
Range of Approval/Disapproval Time: Unknown. This is a new
program.
Appeals: Adverse decision may be appealed in accordance with
procedures set out at 7 CFR 11.
Renewals: Not applicable.
ASSISTANCE CONSIDERATIONS:
Formula and Matching Requirements: This program has no
statutory formula or matching requirements, although availability of matching funds is
considered in determining priority.
Length and Time Phasing of Assistance: Funding for complete
projects is limited to projects that can be completed within 2 years. Projects of longer
duration may only be funded for 1 year at a time.
POST ASSISTANCE REQUIREMENTS:
Reports: Grantees must provide a financial report and
performance activity report quarterly while the project is in process, and a project
evaluation report within 1 year after the project is completed.
Audits: Audits are required in accordance with OMB Circular
No. A-133.
Records: Records and accounts must be maintained to reflect
the operations of the project.
FINANCIAL INFORMATION:
Account Identification: 12-1900-0-1-352.
Obligations: (Grants) FY 99 $0; FY 00 est $3,500,000; and FY
01 est $8,000,000.
Range and Average of Financial Assistance: Not available.
PROGAM ACCOMPLISHMENTS:
This is a new program for which implementing regulations are in a draft stage.
Appropriated funds are available for fiscal year 2000, in the amount of $3,500,000,
pending implementation of final program regulations. It is unknown what funding will be
available for fiscal year 2001.
REGULATIONS, GUIDELINES, AND LITERATURE:
A proposed rule was published in the Federal Register on February 3, 1998, 63 FR 5474.
Final regulations are under development and are expected to be published at 7 CFR 4284,
Subpart G.
INFORMATION CONTACTS:
Regional or Local Office: Contact the appropriate Rural
Development State Office listed in Appendix IV of the Catalog.
Headquarters Office: Rural Business-Cooperative Service,
USDA, Specialty Lenders Division, STOP 3225, Room 6767, 1400 Independence Ave., SW.,
Washington, DC 20250-1521. Telephone: (202) 720-1400.
Web Site Address: http://www.rurdev.usda.gov.
EXAMPLES OF FUNDED PROJECTS:
None.
CRITERIA FOR SELECTING PROPOSALS:
Grant selection criteria include the extent to which economic development resulting
from the proposed project will be sustainable over the long term; the extent to which the
project should lead to improvements in the quality of economic activity within the
community, such as higher wages, improved benefits, greater career potential, and the use
of higher level skills; the amount of leveraging of funds from other sources; service to
communities that are experiencing trauma due to a major natural disaster or the closing or
major downsizing of a military facility or other major employer; service to communities
that have remained consistently poor over the long term or have experienced long term
population decline or job deterioration; and the extent of the project's usefulness as a
best practice that may serve as a model for other communities.
