Employment and Training Administration

PLEASE NOTE:The required and recommended forms that appeared in this solicitation for grant applications are not available in this TEXT format of the SGA. To retrieve these forms, applicants must either download the PDF version of this notice, or contact the Office of Grant and Contract Management for paper copies.

AGENCY: Employment and Training Administration (ETA), DOL.

ACTION: Notice of availability of funds; solicitation for grant applications.-----------------------------------------------------------------------SUMMARY: The U.S. Department of Labor (DOL), Employment and Training Administration (ETA) announces the first round of competitive grants under a two year Welfare-to-Work (WtW) grant program enacted under the Balanced Budget Act of 1997. The WtW program assists States and local communities to provide the transitional employment assistance needed to move hard-to-employ recipients of Temporary Assistance to Needy Families (TANF) into lasting unsubsidized jobs. WtW grants are targeted to assisting those TANF recipients, and certain noncustodial parents, who have experienced, or have characteristics associated with, long-term welfare dependence. This announcement describes the conditions under which applications will be received under the Welfare-to-Work (WtW) Competitive Grants Program and how DOL/ETA will determine which applications it will fund. This announcement includes all of the information and forms needed to apply for WtW competitive grants.

DATES: The closing date for receipt of applications under this announcement is March 10, 1998. For the funding cycle covered by this announcement, complete applications must be received at the address below no later than 2 p.m. EST (Eastern Standard Time). Except as provided below, grant applications received after this date and time will not be considered. Applications which are not accepted for this announcement must be resubmitted to be considered for future announcements.

ADDRESSES: U.S. Department of Labor, Employment and Training Administration, Division of Acquisition Assistance, Attention: Mr. Willie Harris, SGA/DAA 98-004, 200 Constitution Avenue, NW, Room S4203, Washington, D.C. 20210.

FOR FURTHER INFORMATION CONTACT: Mr. Willie Harris, Grant Management Specialist, Division of Acquisition Assistance, Telephone: (202) 219-8694. This is not a toll-free number. This announcement is also being published on the Internet on the Employment and Training Administration's Welfare-to-Work Home Page at http://wtw.doleta.gov. Copies of the Interim Final Rule governing the Welfare-to-Work program, including activities conducted under the competitive grants, are also available on the WtW Home Page. In addition, award notifications will be published on the WtW Home Page.

SUPPLEMENTARY INFORMATION:

I. Authority Section 403(a)(5)(B) of Title IV of the Social Security Act. Regulations governing the WtW program are at 20 CFR Part 645, published at 62 FR 61588. These Interim Final Regulations were published in the Federal Register on November 18, 1997.

II. Submission of Applications

A signed original of the application and three copies must be submitted. An application should be single-spaced and shall not exceed twenty (20) single-sided pages for the Government Requirements/Statement of Work section, as described in the ``Required Content for WtW Competitive Grant Applications--Fiscal Year 1998,'' plus an additional twenty-five (25) pages for Attachments, including the Project Synopsis, Evidence of State and Local Coordination, the Financial Plan and other recommended forms. A font size of at least 12 pitch is required.

Acceptable Methods of Submission

Applications may be hand-delivered or mailed. Hand-delivered applications must be received at the address identified above by the date and time specified. Overnight mail deliveries will be treated as hand-deliveries. Mailed applications that arrive after the closing date will be accepted if they are post-marked at least five (5) days prior to the closing date. Applications submitted via overnight mail that arrive after the closing date will be accepted if they are post-marked at least two (2) days prior to the closing date. Otherwise, late applications will not be accepted. Telegraphed and/or faxed applications will not be accepted.

Applications may be withdrawn by written notice or telegram (including mailgram), or in person if the representative's identity is made known, and the representative signs a receipt for the application.

OMB Approval of Paperwork Burden

According to the Paperwork Reduction Act of 1995, no persons are required to respond to a collection of information unless such collection displays a valid OMB control number. The valid OMB control number for this information collection is 1205-1387. The time required to complete this information collection is estimated to average twenty (20) hours per response, including the time to review the instructions, search existing data resources, gather data needed, and complete and review the information. Comments concerning this burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to the U.S. Department of Labor, Office of Job Training Programs, Room N4459, Washington, D.C. 20210 (Paperwork Reduction Project 1205-1387). Comments may be reflected in the development of future solicitations.

III. Program Scope and Funding

Competitive grant projects will be expected to achieve the purpose of all WtW grants:

To provide transitional assistance which moves welfare recipients into unsubsidized employment providing good career potential for achieving economic self-sufficiency.

This transitional assistance is to be provided through a ``work first'' service strategy in which recipients are engaged in employment-based activities. Grant funds may be used to provide needed basic and/or vocational skills training as a post-employment service in conjunction with either subsidized or unsubsidized employment. This flexibility, established in the Regulations, reflects the basic ``work first'' philosophy of the WtW legislation, and recognizes the critical importance of continuous skills acquisition and lifelong learning to economic self-sufficiency.

All competitive grant projects will be expected to be an integral part of a comprehensive strategy for moving eligible individuals into unsubsidized employment in a local, community-based context. Projects should develop and implement innovative approaches that enhance a community's ability to move eligible individuals into self-sustaining employment, create upward mobility paths and higher earnings[[Page 67903]]potential for WtW participants, and achieve sustainable improvements in the community's service infrastructure for assisting welfare recipients. All applications will be reviewed under the criteria set forth in Part VII of this announcement, including the effectiveness of the proposal in moving TANF recipients who are least job ready into unsubsidized employment, in moving such recipients into unsubsidized employment in labor markets that have a shortage of low-skill jobs, and in expanding the base of knowledge about programs aimed at moving TANF recipients into long-term unsubsidized employment.

Areas of Special Interest

In addition to proposing innovative strategies for moving welfare recipients into lasting unsubsidized employment, applicants are encouraged to consider the following in designing responsive service strategies for the eligible population in their local area:

• Targeted assistance to specific subgroups of the eligible populations such as noncustodial parents, individuals with learning disabilities, individuals who require substance abuse treatment for employment, and public housing residents;
• Development of responsive transportation and child care service systems;
• Use of integrated work and learning strategies to develop skills;
• Creation of job opportunities (including self-employment) that allow for flexibility to address work and family needs while providing income levels that are adequate for self-sufficiency;
• Proactive strategies to involve employers in design of service strategies and implementation of the project;
• Strategies that focus on family-based assistance and that are integrated with children systems (e.g., Child Care, Head Start) that can assist the full family unit;
• Activities to help women access nontraditional occupations; and
• Strategies that reflect effective integration with both the workforce development (e.g., One-Stop) and welfare systems.

The Department is also interested in receiving applications to implement projects in conjunction with community saturation strategies (in which comprehensive services are available to assist all of the eligible residents in a defined community). The Department expects that these applications would be submitted from communities in which there are concentrations of eligible hard-to-employ individuals, there is a reasonable opportunity to provide employment for all such individuals, and there are established partnerships which can contribute a significant level of resources to implement the strategy.

Funding Availability

A total of $368.25 million is available for competitive grant awards in Fiscal Year (FY) 1998 and $343.25 million in FY 99. Approximately $184 million (or 50 percent of FY 98 competitive grant funding) is available for Federal grant assistance through this announcement. The balance of the available funding for FY 98 will be covered in subsequent announcements. Of the funds available in FY 98, the Department aims to distribute approximately 70 percent for projects to serve cities with large concentrations of poverty and 30 percent for projects to serve rural areas. Definitions for ``cities with large concentrations of poverty'' and ``rural area'' can be found in Appendix B of this announcement. Applications to serve rural areas should be targeted to serve eligible residents from subareas that represent concentrations of poverty. Further, as indicated under the Criteria section of this solicitation, applications are strongly encouraged to present innovative strategies to address the needs of areas with concentrations of poverty.

It is expected that most grant awards will be between $1 million and $5 million. Furthermore, it is expected that most grants will serve a minimum of 100 eligible participants. Applications that are outside of this range should provide an explanation of how the project will have substantial community impact (especially for those below $1 million and/or fewer than 100 participants), or how project services will be provided on a local level and targeted to the specific needs of the defined target group (especially for those applications over $5 million).

Award Period

It is expected that the planned performance period for most projects will be between 18 and 30 months. Grant funds are not available for expenditure for longer than three years. No obligation or commitment of funds will be allowed beyond the grant period of performance. Any unspent grant funds must be returned to the Department of Labor.

IV. Eligible Grant Applicants

Private Industry Councils (PIC), political subdivisions of the State (as defined in Appendix B), and private entities (as defined in Appendix B) are eligible to receive grant funds under this announcement. Eligible private entities include community development corporations, community action agencies, community-based and faith-based organizations, disability community organizations, public and private colleges and universities, and other qualified private organizations. Private entities include both non-profit and for-profit organizations but do not include individuals.

Entities other than a PIC or a political subdivision of the State must submit an application for competitive grant funds in conjunction with the PIC(s) or political subdivision(s) for the area in which the project is to operate. The term ``in conjunction with'' shall mean that the application must include a signed certification by both the applicant and either the appropriate PIC(s) or political subdivision(s) indicating that:

1. The applicant has consulted with the appropriate PIC(s)/political subdivision(s) during the development of the application; and

2. The activities proposed in the application are consistent with, and will be coordinated with, the WtW efforts of the PIC(s)/political subdivision(s).

If the applicant is unable to obtain the certification, it will be required to include information describing the efforts which were undertaken to consult with the PIC(s)/political subdivision(s) and indicating that the PIC(s)/political subdivision(s) were provided a sufficient opportunity to cooperate in the development of the project plan and to review and comment on the application prior to its submission to the Department of Labor. ``Sufficient opportunity for PIC/political subdivision review and comment'' shall mean at least 30 calendar days.

The certification, or evidence of efforts to consult, must be with either each PIC or each political subdivision in the service area in which the proposed project is to operate.

State-level Consultation

All applicants for competitive grants, including PICs and political subdivisions, must submit their applications to the Governor or, at the discretion of the Governor, to the designated State administrative entity for the WtW program, for review and comment prior to submission of the application to the Department. For private entities, State review must be subsequent to review by the PIC or political entity. When submitted to the Department, the application must include any comments from the Governor or his/her designee or must include information indicating that the Governor was provided a sufficient[[Page 67904]]opportunity for review and comment prior to submission to the Department. ``Sufficient opportunity for State review and comment'' shall mean at least 15 calendar days.

Applicants for Multiple Community or National Projects

Consideration will be given to applications which propose multi-community or national strategies to move welfare recipients into long-term unsubsidized employment leading to economic self-sufficiency. For example, an applicant may design a nationwide project to create jobs for welfare recipients in a particular industry. Applications which propose multi-community or national strategies must meet all of the application requirements contained in this Announcement. Specifically, private entities proposing such projects must include the signed certification from the applicable PIC or political subdivision of each SDA in which the project will operate or other evidence indicating the efforts undertaken to obtain the required consultation as described above. Such applications must also demonstrate the required consultation with the Governors of the States in which the project will operate. Applications proposing national projects must comply with all statutory and regulatory requirements and will be rated under the same evaluation criteria as other applications. Applicants should be aware that the extent of local collaboration demonstrated in a national project will be considered as an important factor in the overall strength of the proposal.

Lobbying Disclosure Act of 1995

Entities described in Section 501(c)(4) of the Internal Revenue Code that engage in lobbying activities are not eligible to receive funds under this announcement. The Lobbying Disclosure Act of 1995, Public Law 104-65, 109 Stat. 691, prohibits the award of Federal funds to these entities if they engage in lobbying activities.

V. Program and Administrative Requirements

Participant Eligibility and Funding Expenditures

Each project will be required to meet the targeting provisions described at 20 CFR 645.211-645.213. [NOTE: The WtW Regulations are available at the WtW Internet web site at http://wtw.doleta.gov.] These provisions dictate that a minimum of 70 percent of the funds in each WtW competitive grant must be used to serve hard-to-employ individuals as described in Sec. 645.212. Furthermore, no more than 30 percent of the funds in each grant may be used to serve individuals with characteristics predictive of long-term welfare dependence, as described in Sec. 645.213.

Allowable Uses of Funds

Competitive grant funds shall only be spent for those activities identified in the WtW Regulations, at 20 CFR 645.220, and for appropriate administrative costs.

Administrative Costs

Allowable costs and the 15 percent limitation on administrative costs for WtW competitive grants are defined in the WtW Regulations at 20 CFR 645.235. All proposed costs must be reflected as either a direct charge to specific budget line items, or as an indirect cost. Direct and indirect administrative costs are allowable, but combined, these costs cannot exceed 15 percent of the total grant. The administrative costs negotiated in the final grant document may be below fifteen percent.

Only costs which result from applying a Federally-approved indirect cost rate may be entered on the ``indirect cost'' line item of the budget. If an indirect cost rate is used, the applicant must include documentation from the cognizant Federal agency which includes the approved rate, the cost base against which it is applied, and the approval date.

All applicants will be expected to justify proposed costs (see Item 3 of the Financial Plan in the ``Required Content for WtW Competitive Grants Applications--Fiscal Year 1998''). Profits are not an allowable use of grant funds.

Use of Federal Funds

Federal funds cannot be used to support activities which would be provided in the absence of those funds. Grant funds may cover only those costs which are appropriate and reasonable. Federal grant funds may only be used to acquire equipment which is necessary for the operation of the grant. The grantee must receive prior approval from the DOL/ETA Grant Officer for the purchase and/or lease of any property and/or equipment with a per unit acquisition cost of $5,000 or more, and a useful life of more than one year as defined in the ``Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments'', codified at 29 CFR Part 97, and ``Grants and Agreements with Institutes of Higher Education, Hospitals and Other Non-Profit Organizations'', codified at 29 CFR Part 95. This restriction includes the purchase of Automated Data Processing (ADP) equipment. A request for such prior approval may be included in the grant application or submitted after the grant award. Requests submitted after the grant award must be directed through the Grant Officer Technical Representative (GOTR) and must include a detailed description and cost of the items to be acquired.

Grant funds also may not be used to cover any project-related costs incurred prior to the effective date of the grant award. In making a grant award, DOL/ETA has no obligation to provide any future additional funding in connection with the grant award.

Pursuant to 20 CFR 645.235(c)(3), the costs of information technology--computer hardware and software--needed for tracking or monitoring under a WtW grant are not subject to the fifteen percent limitation on administrative costs.

Year 2000 Compliance

Any information technology purchased in whole or in part with WtW funds, which is used for a period of time that goes beyond December 31, 1999, must be ``year 2000 compliant.'' This means that such information technology shall accurately process date/time data (including, but not limited to, calculating, comparing and sequencing) from, into and between the twentieth and twenty-first centuries, the years 1999 and 2000, and leap year calculations. Furthermore, ``year 2000 compliant'' information technology, when used in combination with other information technology, shall accurately process date/time data if the other information technology properly exchanges date/time with it.

Assurances and Certifications

The following assurances and certifications will apply to each executed grant agreement:

• Assurances/Non-Construction Programs;
• Debarment & Suspension Certification;
• Certification Regarding Lobbying;
• Drug Free Workplace Certification;
• Certification of Non-delinquency; and
• Non-discrimination and Equal Opportunity Requirements.

These Assurances and Certifications will appear as part of the final grant award document.

Departmental Oversight

The Department reserves the right to conduct oversight and both[[Page 67905]]programmatic and financial monitoring activities for all competitive grants awarded under the WtW grants program.

Department of Health and Human Services Evaluation of the Welfare-to-Work Program

Competitive grant projects will participate in the evaluation of the WtW grant program by the U.S. Department of Health and Human Services (DHHS), as described in Title IV, section 413(j)(1) of the Social Security Act. The goal of the DHHS evaluation is to expand the base of knowledge about programs aimed at moving the least job ready welfare recipients into unsubsidized employment. The evaluation will collect program and administrative data to determine the range of WtW project designs and the employment outcomes for all WtW grantees, consistent with sec. 413(j)(1)(C) of the Social Security Act. In addition, DHHS will select certain sites at which to qualitatively study the implementation of the WtW program and other sites where net impact and cost effectiveness of the program will be examined quantitatively.

VI. Monitoring & ReportingMonitoring

The Department shall be responsible for ensuring effective implementation of each competitive grant project in accordance with the Act, the Regulations, the provisions of this announcement and the negotiated grant agreement. Applicants should assume that at least one on-site project review will be conducted by Department staff, or their designees, at approximately the midpoint of the project performance period. This review will focus on the project's performance in meeting the grant's programmatic goals and participant outcomes, complying with the targeting requirements regarding recipients who are served, expenditure of grant funds on allowable activities, integration with other resources and service providers in the local area, and methods for assessment of the responsiveness and effectiveness of the services being provided. Grants may be subject to other additional reviews at the discretion of the Department.

Reporting

Applicants selected as grantees will be required to provide the following reports:

1. Financial Reporting: The Department of Labor (DOL) will issue financial reporting instructions for competitive grantees. Specific reporting instructions are awaiting clearance from the Office of Management and Budget. Financial reports will be submitted directly to DOL.

2. Participant Reporting: The Department of Health and Human Services (DHHS) will issue participant reporting instructions covering the entire WtW program--both formula and competitive grants. Participant reports for each competitive grant will be submitted in accordance with reporting instructions to be issued by DHHS at a later date.

3. Other Reporting: The Department of Labor may negotiate additional reporting requirements with individual grantees, where necessary, for grants management and/or knowledge development purposes. In addition to required quarterly financial and participant reporting, some grantees may be asked to provide information to the appropriate ETA Regional Office during the early implementation phase of the project for the purpose of project oversight. This information may include project enrollment levels, participant characteristics, and emerging implementation issues.

VII. Review and Selection of Applications for Grant Award Review Process

The Department will screen all applications to determine whether all required elements are present and clearly identifiable. These elements are described below in the ``Required Content for WtW Competitive Grant Applications--Fiscal Year 1998.'' Failure to include and clearly identify all required elements will result in rejection of the application.

Each complete application will be objectively rated by a panel against the criteria described in this announcement. Applicants are advised that the panel recommendations to the Grant Officer are advisory in nature. The Grant Officer may elect to award grants either with or without discussion with the applicant. In situations where no discussions occur, an award will be based on the applicant's signature on the SF424 form (See Appendix C), which constitutes a binding offer. The Grant Officer will make final award decisions based on what is most advantageous to the Government, considering factors such as:

• panel findings;
• the geographic distribution of the competitive applications;
• the extent to which the competitive applications reflect a reasonable distribution of funds across the areas of special interest identified in this announcement; and
• the availability of funds.

  Criteria

  The criteria, and the weights assigned to each, which will apply to the review of applications submitted in response to this announcement are:

  1. ``Relative Need for Assistance'' [20 points] which shall consider the concentration of poverty and long-term welfare dependence and the lack of employment opportunities in the project service area (up to 9 points); the extent of gaps in the capacity of the local infrastructure to effectively address the employment barriers which characterize the targeted population (up to 6 points); and the responsiveness of the project design to the areas of special interest identified in Part III of this announcement (up to 5 points).

  2. ``Innovation'' [20 points] which shall consider the extent to which the project incorporates new and better strategies for moving welfare recipients into lasting unsubsidized employment leading to economic self-sufficiency. These strategies can include, but are not limited to, new and better ways that services can be accessed by participants in the local community, new and better ways for local organizations to work together, or the replication of effective strategies in a new setting.

  3. ``Outcomes'' [25 points] which shall consider the quality of the proposed employment and earnings outcomes (up to 10 points); the extent to which the proposed plan of services responds to identified needs, the barriers faced by proposed participants, and the conditions in the local area as well as the likelihood that the proposed service plan will result in the proposed outcomes (up to 12 points); and the reasonableness of the level of investment in relation to the proposed outcomes (up to 3 points).

  4. ``Local Collaboration and Sustainability'' [25 points] which shall consider the extent and quality of local partnerships that are involved in and making substantial contributions to the project (up to 4 points); the extent to which the project is coordinated with the WtW formula grant and TANF grant activities and supported by the PIC/political subdivision and local TANF agency (up to 4 points); the commitment and integration of other community resources (up to 7 points); involvement of and participation by local employers (up 5 points); and the extent to which the community and/or the local area has developed plans and commitments to maintain and expand the capacity to serve the target population with local[[Page 67906]]resources over a sustained period of time (up to 5 points).

  5. ``Demonstrated Capability'' [10 points] which shall consider the extent to which the applicant and its partner organizations demonstrate a history of success in serving a comparable target group, the extent of use of current or former welfare recipients in the provision of services, and the extent to which the applicant demonstrates the ability to effectively execute grant management responsibilities. For those proposals that are deemed by the Grant Officer to be most competitive, applicants for projects to operate in designated Empowerment Zones and Enterprise Communities (EZ/EC) will be eligible for 5 bonus points.

  In addition, proposals that are deemed by the Grant Officer to be most competitive, that plan to serve at least 450 WtW participants, and that are willing to participate in a random assignment evaluation may be awarded from zero to five bonus points (based on an HHS assessment of the suitability of the project for evaluation against the criteria outlined in Appendix A). Selected projects may also be able to access additional technical assistance resources, as well as a small amount of funding to offset the additional administrative costs of random assignment. These applicants should submit the additional information identified in Appendix A of this announcement. This information will be submitted as an Addendum to the grant application and will not be counted against the application page limit or count as an Attachment.

  Signed at Washington, D.C., this 19th day of December, 1997.Janice E. Perry, Grant Officer.

  Required Content for WtW Competitive Grant Applications

  Fiscal Year 1998

  Each application must contain the information and follow the format outlined in this Part. The application should include: (1) Information that responds to these requirements; (2) information that indicates adherence to the provisions described in preceding sections of this announcement; and (3) any other information the applicant believes will address the review and selection criteria.

  I. Project Synopsis/Summary

  Each application shall provide a project synopsis which identifies the applicant, the type of organization, the project service area, whether the service area is a city with a large concentration of poverty or a rural area, the specific areas of interest identified in the announcement which are addressed by the project, the amount of grant funds requested, the planned period of performance, the planned number of WtW-eligible TANF recipients to be served, the number of noncustodial parents to be served (if applicable), the significant employment barriers which characterize the target group, the planned employment and earnings outcomes, a summary description of the proposed service strategy, and other significant service organizations involved in the delivery of services. This section must be limited to no more than two single-spaced, single-sided pages. A recommended format for this synopsis can be found in Appendix D.

  II. Evidence of Required Local and State Consultation

  It is the expectation of the Department that, to the extent possible, all applications will be developed in consultation with the appropriate PIC/political subdivision and the Governor. Competitive grant projects should complement the WtW formula program activity, rather than exist independent of, or in conflict with, that program.

  Each application must include the signed certification or other evidence of the required consultation with the Governor as described in this announcement. Applications from private entities must also include the signed certification from the appropriate PIC(s) or political subdivision(s) or other evidence indicating the efforts undertaken to obtain the required consultation as described in this announcement. In areas where an entity other than the PIC has been designated by the Governor and approved by the Secretary to administer the WtW formula grant, the applicant should also include evidence of consultation and/or support from that entity. General letters of support (e.g., from community organizations, elected officials, employers) should not be included in this part of the application.

  III. Government Requirements/Statement of Work

  This section of the application should not exceed 20 single spaced pages. The application should include information of the type described below, as appropriate.

  Description of Service Area

  --Identify the specific political and geographic jurisdictions (e.g., cities, counties, subsections of cities/counties) which are included in the service area for the project.--Identify the percent of the population in the service area that has income below the poverty level.--Identify the percent of the population in the service area that is receiving TANF assistance.--Identify the percent of the TANF population that has received assistance for 30 months or more, or is within 12 months of losing eligibility for assistance under State or Federal law.--Identify the unemployment rate in the service area.--Describe the significant deficiencies in the local area infrastructure that represent significant barriers to moving eligible recipients into permanent employment in an efficient manner (e.g., lack of transportation, labor market with a shortage of low-skill jobs, shortage of employers with appropriate employment opportunities, remoteness from health facilities, limited number of social and support service agencies).

  Summary of Strategy for Use of WtW Formula Funds in the Local Area

  --Identify the substate service area covered by the WtW formula grant.--Describe the allocation of formula grant funds among the allowable activities.--Identify the significant local and community organizations involved and their roles in providing assistance through the formula grant.--Describe how the proposed competitive grant project will supplement and enhance the capacity of the WtW formula grant activities to effectively serve eligible recipients in the local area who have significant employment barriers.--In cases where the applicant cannot obtain this information because the State has not yet submitted a complete WtW Formula Grant Plan, the application should so indicate. Absence of this information, in and of itself, will not penalize the applicant.

  Analysis of Target Group

  --Describe the individuals targeted for assistance through this project, including any noncustodial parents.--Describe the significant employment barriers which characterize this target group, including the process for identifying those participants who are least job ready. [Note: An adequate analysis of employment barriers of the target group will be a critical factor in evaluating the need for grant assistance and the appropriateness of the proposed plan of services.

  Analysis of Employment Opportunities

  --Identify the types of occupations in the local area which are being targeted as appropriate employment opportunities for the target group of this project.--Describe the justification for the selection of the occupations in terms of their availability and the adequacy of expected placement wage and post-placement earnings potential to achieve self-sufficiency.

  Service Strategy

  --Identify the specific job readiness, placement (in both subsidized and unsubsidized employment), post-employment, job retention and/or support services to be provided with competitive grant funds as well as services to be leveraged from other sources.

  --Describe the rationale for planned enrollments in activities in terms of the employment barriers, infrastructure deficiencies and employment opportunities previously identified above (enrollments in each activity will be reflected in the Quarterly Implementation Plan).

  --Where vouchers for services are to be used, describe the process by which vouchers will be distributed and redeemed (in compliance with 20 CFR Sec. 645.230(a)(3)), including who will be eligible, how amounts of vouchers will be determined, and how the grantee will ensure that quality services are being provided.

  Service Process

  --Describe the comprehensive service process that will be available to participants, and identify the organizations which will be involved in providing specific services/activities. [A process flowchart and/or service matrix may be used to provide this description.] The description should specify what elements of the service strategy are already available in the community, whether through the WtW formula program, the TANF program or from other sources, as well as the elements or services that will be funded through the WtW competitive grant award. Also describe what individual support services, such as mentoring and case management, will be used to maintain participants in the program.

  --Describe the specific methods which will be used by the grantee and the local TANF agency to coordinate and work jointly in providing the following services:

  --outreach, recruitment, and referral of appropriate recipients for assistance through the project;

  --assessment of skills and identification of specific employment barriers;

  --counseling and case management; and

  --support services.

  Integration of Resources

  --Identify specific financial resources and organizational/service provider capabilities which are being contributed to provide the full range of assistance to the identified target group for the project. At a minimum, describe the coordination and contributions of local JTPA service providers, local TANF providers, and local housing and transportation authorities. In developing their plans, applicants are encouraged to be mindful of their obligations not to interefere with collective bargaining rights or agreements or to displace employees.

  --Describe the process that will be used to maintain and expand the service structure in the local area and engage new partners after receipt of WtW competitive grant funds.

  --Describe how the project will develop a sustainable capacity in the local community to effectively move welfare recipients into permanent jobs and to foster the long-term self-sufficiency of the target population. It is expected that project services will provide assistance oriented towards long-term solutions. It is also expected that the need for grant funds to provide this assistance will diminish over time, specifically in the latter stages of the grant performance period.

  Employer Support

  --Describe the specific responsibilities and approaches for developing relationships with and support of area employers to generate a sufficient number of unsubsidized employment opportunities for the target group. Specifically describe how employers will be encouraged to customize employment opportunities to meet work-related needs (e.g., child care, flexible work schedules) of recipients.--Identify the employers in the local area who have made commitments to the project and describe the types of commitments made (e.g., number and types of jobs, contribution of employer resources for post-hire support services and/or training).

  Planned Outcomes

  --Identify and justify planned performance for the comprehensive service strategy on the following measures:

  --number of participants to be placed into unsubsidized employment; --average earnings at placement in unsubsidized employment; --expected average earnings one year after placement in unsubsidized employment; and --cost per placement in unsubsidized employment. In addition, where applicable, for those services supported specifically by WtW competitive grant funds, describe specific process or outcome objectives for those services. The application may include other measures and planned performance levels as deemed appropriate by the applicant. If these are included, the applicant should briefly describe their relevance to the project.

  Implementation Plan

  --Identify the critical activities, time frames and responsibilities for effectively implementing the project within the first 60 days after the award of the grant.--Include a completed quarterly implementation schedule showing the number of participants, enrollments in allowable activities, placements in unsubsidized employment and terminations. (See Appendix D for a recommended format.)

  Project Management Plan

  Applicants must be able to document that they have systems capable of satisfying the administrative and grant management requirements for WtW grants as defined in 20 CFR Part 645.

  --Include a project organizational chart which identifies the organizations, and staff, with key management responsibilities and the specific responsibilities of each organization;--Describe the specific experience of the applicant and other key organizations involved in the project in serving individuals with significant barriers to employment. The information should include specific projects or grants, a comparison of the characteristics of individuals served to the target group for this project, and the employment outcomes which were achieved.--As appropriate, describe how current or former welfare recipients will be used to provide services.--Describe the procedures which will be used to obtain feedback from participants and other appropriate[[Page 67908]]parties on the responsiveness and effectiveness of the services provided.

  Innovation

  Recipients of WtW competitive grants are expected to use creativity and innovation to help eligible individuals obtain long-term unsubsidized employment and economic self-sufficiency. The application should describe how the proposed approach represents an innovative method for achieving the employment objectives of the project. Proposed strategies should represent an improvement over, or a variation on, approaches that have traditionally been used in the project service area to assist welfare recipients and other low income unemployed individuals.

  Grant recipients are also expected to share knowledge which they develop through the use of innovative approaches. Applicants should describe how they will report lessons learned in the course of the grant implementation, and further, describe their plans for disseminating the knowledge they have gained.

  Additional Requirements for Community Saturation Projects

  --Describe why a project employing a saturation strategy is appropriate for the project service area and target group.--Describe the feasibility of a saturation strategy for the project service area and target group (i.e., based on available employment opportunities and other factors).--Identify the local partners who will be involved in implementing the saturation strategy, the services to be provided and the dollar value of the contribution from each.

  IV. Financial Plan

  The financial plan shall describe all costs associated with implementing the project that are to be covered with grant funds. All costs should be necessary and reasonable according to the Federal guidelines set forth in the ``Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments'', codified at 29 CFR Part 97, and ``Grants and Agreements with Institutes of Higher Education, Hospitals and Other Non-Profit Organizations'', codified at 29 CFR Part 95.

  The financial plan must contain the following four parts:

  1. ``Application for Federal Assistance'' and ``Budget Information Sheet'' by line item for all costs required to implement the project design effectively. Submission of these two completed forms is required. (See Appendix C for these forms.) [NOTE: Although there is no matching requirement for these grants, the Department strongly encourages the leveraging of resources in the implementation of WtW competitive grant projects. On the Budget Information form, the ``Matching/Cost Sharing'' section of the form provides an opportunity for applicants to reflect such leveraged resources.]

  2. Detailed line item break-out budget identifying items by cost category (``administration'' and ``activities''). A recommended format is included in Appendix D. At a minimum, the line item budget included in the application must provide the level of information indicated in the recommended format.

  3. Budget narrative/justification which provides sufficient information to support the reasonableness of the costs included in the budget in relation to the service strategy and planned outcomes.

  4. Quarterly expenditure plan which identifies the planned cumulative expenditure of grant funds by Fiscal Year quarter for the planned period of performance of the project. Expenditures must be identified by grant activity. A recommended format is included in Appendix D.

  Appendix A: Instructions for Random Assignment Plan Addendum

  Background

  The Department of Health and Human Services is charged with the responsibility to conduct a national evaluation of the welfare-to-work (WtW) grants program. The goal of the evaluation is to expand the base of knowledge about effective strategies for moving the least job-ready welfare recipients into unsubsidized employment. Ten to fourteen WtW competitive grant project sites will be selected for an in-depth study of the net impact and cost-effectiveness in moving hard-to-employ recipients into employment. This analysis will rely on both administrative data and, potentially, in-person interviews with program participants. In addition, these sites will participate in a qualitative study of the issues, challenges, and successes associated with implementing and operating WtW programs. This qualitative analysis will rely on on-site interviews with program administrators and staff, administrative data, and potentially, focus groups with WtW participants.

  To qualify as a site for the in-depth study, the site must plan to serve at least 450 WtW eligible individuals. Up to five (5) bonus points are available to competitive grant applicants which meet this participant threshold and which are willing to participate in the net impact and cost-effectiveness components of the evaluation. Sites selected to participate in the evaluation will receive additional resources to cover the extra administrative costs associated with participating in the evaluation. Additionally, selected sites will have access to enhanced technical assistance from the evaluation contractor. Finally, the sites will benefit from a high-quality evaluation of their program, as well as the opportunity to have their program showcased nationally to demonstrate innovative techniques for serving hard-to-employ welfare recipients.

  What Will Participation in the Net Impact and Cost-Effectiveness Components of the Evaluation Mean for the Selected Sites.

  To effectively measure the net impact and cost-effectiveness of specific service strategies, an experimental design involving the random assignment of individuals to either treatment status (receipt of WtW services) or control status (receipt of regular TANF services) will be used to estimate program net impacts. The random assignment approach will also be applied to test impacts among a variety of WtW services.

  Since the level of funding available to a particular WtW site will not be sufficient to serve the entire population eligible in that site, the applicant must demonstrate the capacity to design a random assignment study so that no fewer participants will be served by the WtW program than would have been served in the absence of the study. Random assignment will only change the mechanism by which program administrators would otherwise respond to the funding shortfall (e.g., waiting lists, first-come first-serve, priority groups). Nor will random assignment require excluding the control group from services--the control group will be eligible to receive the regular TANF services available to participants in the TANF program.

  Application Process

  WtW applicants who would like to be considered as net impact and cost-effectiveness evaluation site should submit an ``Evaluation Addendum'' in addition to their programmatic application.

  The addendum should address the following items:

  • Appropriateness of site for evaluation purposes. Because of the statistical requirements associated with random assignment, programs selected[[Page 67909]]for the evaluation will need to serve at least 450 participants in this grant cycle (with funding available over three years). Preference may be given to programs that address the areas of interest identified in the SGA and that will be able to be implemented quickly. The application should explain the importance of the program model for learning about effective strategies for hard-to-employ recipients. It also should include evidence of the applicant's understanding of what is required to carry out a net impact evaluation program under the coordination of a contractor, and evidence of the site's commitment to provide the necessary supports and resources to ensure the success of the project.

  • Evidence of capacity to participate. Evaluation sites must be willing and able to collect administrative data on participants' experiences and outcomes. The following are specific examples of evaluation site requirements: utilizing staff time to oversee the administration of special data collection forms and reviewing them for completeness; having on staff personnel with knowledge about or experience in data systems management and extraction; utilizing staff time to contact program participants to set up meetings or elicit their cooperation in focus groups; helping to identify current address or additional contact information for participants who cannot be located after program termination; and utilizing management and staff time to meet with evaluation staff for individual and/or group interviews and information exchange. The application should list the ability of the site to participate in these tasks. It also should identify the key individuals who will work on the evaluation along with a short description of the nature of their contribution and the percentage of their time available for the project. There also should be evidence of support from management of the organization for the purposes of research and evaluation. Applicants are encouraged to discuss relevant staff experience with research and evaluation.

  • Budget for reimbursement of evaluation costs. Additional grant funds are available to help defray the incremental administrative costs associated with the site's participation in the national evaluation. This may include the costs associated with special data collection and reporting (above that required of all WtW grant recipients), monitoring case status and ensuring that cases receive the services appropriate under the arrangements agreed upon for the evaluation, supporting the evaluation by notifying participants and arranging for meetings between evaluators and WtW participants, and providing liaison between the program and the evaluator as a part of the national evaluation team. Based on past experience, it is estimated that the costs to carry out these special tasks equate to between 1 and 1.5 full time employees (FTE) per year for a mid-range support staff person. WtW applicants applying to be considered as participants in this component of the evaluation should include a budget attachment that includes the costs of evaluation (use a budget format similar to the suggested format in Appendix D).

  Sites that are interested in participating in a random assignment experiment but are unsure whether they meet the criteria are encouraged to submit an application for the bonus points. Efforts will be made to work closely with the selected sites to facilitate participation in the study and to minimize the administrative burden of random assignment.

  Appendix B: Definitions of Key Terms

  City with Large Concentration of Poverty--Any county that contains an urban center of more than 50,000 people with a poverty rate of greater than 7.5 percent.

  Noncustodial Parent--A parent of a child whose custodial parent is an eligible TANF recipient.Private Entity--Any organization, public or private, which is neither a PIC nor a political subdivision of a State.Private Industry Council (PIC)--from Sec. 645.120 of the WtW Regulations--A Private Industry Council established under Section 102 of the Job Training Partnership Act, which performs the functions authorized at Section 103 of the JTPA.Political Subdivision--A unit of general purpose local government, as provided for in State laws and/or Constitution, which has the power to levy taxes and spend funds and which also has general corporate and police powers.Rural Area--(1) Any county that does not contain an urban center of more than 50,000 people, and where at least 50 percent of the geographical area of the county has a population density of less than 100 persons per square mile; or (2) in counties where there is an urban center, a rural area within the county that constitutes, or is part of, a distinct rural labor market.

  Appendix C: Application for Federal Assistance (Standard Form 424) Budget Information Sheet Note: In completing the Standard Form 424, the applicant should indicate in Item 11 of the form whether the project is to operate in a city with a large concentration of poverty or in a rural area; identify the EC/EZ included in the project service area, if applicable; and identify any of the areas of interest identified in the announcement which are addressed by the project.BILLING CODE 4510-30-P