fmpp rfa 2015.pdf

Farmers Market Promotion Program Agricultural Marketing Service

Fiscal Year 2015 Request for Applications

Funding Opportunity Number: USDA-AMS-FMPP-2015

Application Due Date: 11:59 PM Eastern Time on May 14, 2015

Program Solicitation Information

Funding Opportunity Title: 2015 Farmers Market Promotion Program (FMPP)

Funding Opportunity Number: USDA-AMS-FMPP-2015

Announcement Type: Initial

Catalog of Federal Domestic Assistance (CFDA) Number: 10.168

Dates: Applications must be received on or before 11:59 pm Eastern Time on May 14, 2015, through www.Grants.gov. Applications received after this deadline will not be considered for funding.

Executive Summary: The U.S. Department of Agriculture (USDA), Agricultural Marketing Service (AMS), requests applications for the fiscal year (FY) 2015 Farmers Market Promotion Program (FMPP) to competitively award grants to eligible applicants for projects that establish, expand, and promote direct producer-to-consumer marketing. Approximately $13 million is available to fund applications under this solicitation.

The minimum FY 2015 FMPP award per grant is $25,000 and the maximum is $100,000.

An applicant is limited to one FMPP award in a funding year. FMPP funding will be available for use beginning September 30, 2015. Matching funds are not required.

This announcement identifies eligibility criteria for FMPP projects and applicants, and the application forms and associated instructions needed to apply for an FMPP award.

2 | P a g e http://www.grants.gov/

Highlights and Changes for 2015

It is important that applicants read and adhere to the guidance contained in this Request for Applications when preparing their applications. Below are highlights of major changes to the program since last year.

• New grant regulations were published last year by the Office of Management and Budget (OMB) that became effective in 2015. AMS addresses all applicable regulatory changes in this Request for Applications and in the terms and conditions of award.

• FMPP applicants may charge indirect costs to the project. Applicants that do not have an approved negotiated indirect cost rate may charge a maximum rate of 10 percent of modified total direct costs. Applicants with an approved negotiated indirect cost rate greater than 10 percent of total direct costs must submit a copy of their approved indirect cost rate proposal to substantiate their request. If an applicant chooses to negotiate for an indirect cost rate, the applicant must contact the designated cognizant agency.

• Links are included in this document to updated FMPP Project Narrative and Project Budget documents.

• Section 4.7.2 Allowable and Unallowable Costs has been updated to included additional costs.

3 | P a g e

TABLE OF CONTENTS

1.0 Funding Opportunity Description

1.1 Legislative Authority

1.2 Purpose

1.3 Project Types

1.4 Priority Areas

2.0 Award Information

2.1 Type of Federal Assistance

2.2 Type of Applications

2.3 Available Funding

2.4 Federal Award Period Duration

2.5 Award Size

3.0 Eligibility Information

3.1 Eligible Applicants

3.2 Project Must Benefit More Than One Individual or Farm Vendor

3.3 Limit on Number of Applications Awarded

3.4 Cost-Sharing and Matching

4.0 Application and Submission Information

4.1 Obtaining an Application Package

4.2 Application Checklist

4.3 Content and Form of Application Submission

4.4 Disqualification of Submitted Application

4.5 Submission Date and Time

4.6 Intergovernmental Review

4.7 Funding Restrictions

4.8 Other Submission Requirements

5.0 Application Review Information

5.1 Project Evaluation Criteria

5.2 Review and Selection Process

6.0 Award Administration Information

6.1 Award Notices

6.2 Unsuccessful Applicants

6.3 Administrative and National Policy Requirements

6.4 Reporting

7.0 Agency Contacts

8.0 Other Information

8.1 FMPP Forms, Webinars, and Frequently Asked Questions (FAQ)

8.2 Equal Opportunity Statement

8.3 Freedom of Information Act Requests

4 | P a g e

1.0 FUNDING OPPORTUNITY DESCRIPTION

1.1 LEGISLATIVE AUTHORITY

The Farmers’ Market Promotion Program (FMPP) is a component of the Farmers Market and Local Food Promotion Program, authorized by the Farmer-to-Consumer Direct Marketing Act of 1946, as amended (7 U.S.C. 3005).

1.2 PURPOSE

FMPP provides funds on a competitive basis to support the development, improvement, and expansion of domestic farmers markets, roadside stands, community-supported agriculture programs, agritourism activities, and other direct producer-to-consumer market opportunities through:

1. Increasing domestic consumption of and access to locally and regionally produced agricultural products; or

2. Developing new market opportunities for farm and ranch operations serving local markets by developing, improving, and expanding, and providing outreach, training, and technical assistance.

Eligible entities include agricultural businesses, agricultural cooperatives, producer networks, producer associations, CSA networks, CSA associations, local governments, nonprofit corporations, public benefit corporations, economic development corporations, regional Farmers market authorities, and tribal governments. See Section 3.0 for further information on eligibility requirements.

1.3 PROJECT TYPES

Eligible project activities may include, but are not limited to:

• Farmer, rancher, or manager training and education

• Farmer, rancher, or manager organization and networking

• Advertising, promotion or outreach for the market including agritourism

• Market startup including infrastructure, expansion, or enhancement

• Product introduction or improvement, adding value, branding

• Market analysis and planning, customer and producer surveys

• Vendor and customer recruitment

Projects are not eligible for FMPP funding if the proposed activities:

• Are not related to producer-to-consumer direct marketing.

• Benefit only one agricultural producer or individual.

• Depend upon a critical component not in place at the time of application submission.

• Depend upon the completion of another project or the receipt of another grant.

5 | P a g e

• Duplicate activities in a project that has received an award from another Federal grant program.

1.4 PRIORITY AREAS

Priority consideration will be given to projects that benefit communities located in concentrated poverty with limited access to supermarkets, and projects that involve Promise Zone Lead Applicant Organizations. FMPP will award at least 10 percent of its total funding to these projects. All applications, whether requesting consideration under the priority areas or not, will be given equal weight in the evaluation process. It is not a requirement that projects are implemented in the priority area or involve Promise Zone partnerships.

LOW-INCOME/LOW ACCESS

To be considered a limited access priority area, the project’s implementation address must be in a low income/low food access census tract (LI/LA) as defined by the USDA. “Implementation address” refers to the street address or census tract location within the targeted community (low income/low food access census tract) at which the applicant plans to conduct or deliver approved project activities.

The applicant is required to provide their census tract(s) for at least one LI/LA address (priority area). If the organization or business is located in and/or primarily serves at least one low income-low access community (as defined by one of the four major map layers on the ERS Food Access Research Atlas map), the application will be considered under this priority area. Further information on how to provide the required information can be found in the FMPP Project Narrative.

PROMISE ZONE(S)

For applicants partnering with Promise Zone Lead Applicant Organizations, identify the specific Promise Zone area in which the project will be implemented and attach documentation on letterhead from and signed by the Promise Zone Lead Applicant Organization certifying the partnership. Further information on how to provide the required information can be found in the FMPP Project Narrative.

For more information about current Promise Zone locations, visit the U.S. Department of Housing and Urban Development Website:

http://portal.hud.gov/hudportal/HUD?src=/program_offices/comm_planning/economicdevelopment/prog rams/pz

2.0 AWARD INFORMATION

2.1 TYPE OF FEDERAL ASSISTANCE

FMPP will use a Grant Agreement to provide a Federal award to successful FMPP applicants.

2.2 TYPE OF APPLICATIONS

New application. All applications will be reviewed competitively using the selection process and evaluation criteria described in Section 5.0.

2.3 AVAILABLE FUNDING

Approximately $13 million will be available to fund applications in fiscal year 2015.

6 | P a g e http://www.ers.usda.gov/data-products/food-access-research-atlas/go-to-the-atlas.aspx http://www.ers.usda.gov/data-products/food-access-research-atlas/go-to-the-atlas.aspx http://www.whitehouse.gov/the-press-office/2014/01/08/fact-sheet-president-obama-s-promise-zones-initiative http://portal.hud.gov/hudportal/HUD?src=/program_offices/comm_planning/economicdevelopment/programs/pz http://portal.hud.gov/hudportal/HUD?src=/program_offices/comm_planning/economicdevelopment/programs/pz

2.4 FEDERAL AWARD PERIOD DURATION

FMPP projects must be completed within 24 months (2 years). FMPP encourages potential recipients to complete their projects within this timeframe. It is acceptable to complete a project before the scheduled performance period end date. The official performance period must begin on September 30, 2015 and end no later than September 29, 2017. The applicant must indicate the start date and end date on Block 17 of the SF-424 “Application for Federal Assistance.”

2.5 AWARD SIZE

Minimum grant award is $15,000 and a maximum award $100,000.

3.0 ELIGIBILITY INFORMATION

3.1 ELIGIBLE APPLICANTS

All applicants must be domestic entities owned, operated, and located within the 50 United States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, American Samoa, the United States Virgin Islands, and the Commonwealth of the Northern Mariana Islands.

State Departments of Agriculture are eligible if the State’s regulatory statutes identify the specific State Department of Agriculture as a regional farmers’ market authority.

Eligible applicants include:

a. Agricultural Businesses: Business entities that provide, hold, deliver, transport, offer, process or sell agricultural products or services.

b. Agricultural Cooperatives: Group-owned or member-owned entities or businesses that provide, offer, or sell agricultural products or services for the mutual benefit of their members.

c. Producer Networks: Producer group- or member-owned organizations or businesses that provide, offer, or sell agricultural products or services through a common distribution system for the mutual benefit of their members.

d. Producer Associations: Organizations or other businesses that assist, represent, or serve producers or producer networks.

e. Community Supported Agriculture (CSA) Networks: Formal groups of farms that work collectively to offer consumers regular (usually weekly) deliveries of locally-grown farm products during one or more harvest season(s) often on a subscription or membership basis.

Customers have access to a selected share or range of farm products offered by the group of farmers based on partial or total advance payment of a subscription or membership fee.

f. CSA Associations: Organizations or other businesses that assist, serve, or represent CSAs or CSA networks.

g. Local Governments: Any unit of government within a state, including a county; borough;

municipality; city; town; township; parish; local public authority, including any public housing agency under the United States Housing Act of 1937; special district; school district; intrastate district; council of governments, whether or not incorporated as a nonprofit corporation under

7 | P a g e state law; and any other agency or instrumentality of a multi-, regional, or intra-state or local government.

h. Nonprofit Corporations: Any organization or institution, including nonprofits with State or IRS 501 (c) status and accredited institutions of higher education, where no part of the net earnings of which inure to the benefit of any private shareholder or individual.

i. Public Benefit Corporations: Corporations organized to construct or operate a public improvement, the profits from which inure to the benefit of a State(s) or to the people thereof.

j. Economic Development Corporations: Organizations whose missions are to improve, maintain, develop and/or market or promote a specific geographic area.

k. Regional Farmers Market Authorities: Entities that establish and enforce regional, State, or county policies and jurisdiction over State, regional, or county farmers markets.

l. Tribal Governments: Governing bodies or governmental agencies of any Indian tribe, band, nation, or other organized group or community (including any native village as defined in Section 3 of the Alaska Native Claims Settlement Act, 85 Stat. 688 (43 U.S.C. § 1602)) certified by the Secretary of the Interior as eligible for the special programs and services provided through the Bureau of Indian Affairs.

3.2 PROJECT MUST BENEFIT MORE THAN ONE INDIVIDUAL OR FARM VENDOR

FMPP will not award grant funds for projects that solely benefit one individual or farm vendor. Projects must benefit two or more farmers, producers, or farm vendors who produce and sell directly to consumers.

3.3 LIMIT ON NUMBER OF APPLICATIONS AWARDED

FMPP will award only one Federal award per eligible entity and project per performance period.

Additionally, you may apply for both FMPP and the Local Food Promotion (LFPP) in the same application year. However, if selected for both awards, you may only receive funding from one program (LFPP or FMPP). Program staff will contact you to discuss the situation, if applicable.

3.4 COST-SHARING AND MATCHING

FMPP does not require cost-share or match.

4.0 APPLICATION AND SUBMISSION INFORMATION

4.1 OBTAINING AN APPLICATION PACKAGE

Applicants can apply for the FMPP at www.Grants.gov under the CFDA number “10.168,” or the FMPP Funding Opportunity Number “USDA-AMS-FMPP-2015.”

4.2 APPLICATION CHECKLIST

The application must include the following:

8 | P a g e

The following forms are available and must be submitted via Grants.gov:

(1) SF-424 – Application for Federal Assistance

(2) SF-424B – Assurances - Non-Construction Program

(3) AD-3030, Representations Regarding Felony Conviction and Tax Delinquent Status for Corporate Applicants. Any entity that has filed articles of incorporation with a State government, DC, etc. must complete this form.

(4) AD-3031, Assurance Regarding Felony Conviction or Tax Delinquent Status for Corporate Applicants. Any entity that has filed articles of incorporation with a State government, DC, etc. must complete this form.

The following documents must be prepared outside of Grants.gov, then uploaded under SF-424 item #15. Click on “Add Attachments” and follow the instructions on the form:

(5) FMPP Project Narrative - 12-page MS Word doc

(6) FMPP Project Budget - MS Excel doc

(7) If applicable, letter from Promise Zone Implementation Partner

(8) If applicable, letter(s) indicating Critical Resources and Infrastructure are in place

(9) If applicable, a copy of your approved indirect cost rate proposal if you are charging more than 10% indirect costs. Refer to section 4.7.1 for further explanation.

(10) Additional Supporting Documents, as necessary

a) Letter(s) of Commitment from Partners, Cooperators, and Contractors

b) Letter(s) of Support from Stakeholders or Beneficiaries

c) Personnel Qualifications – maximum 2 pages

4.3 CONTENT AND FORM OF APPLICATION SUBMISSION

4.3.1 SF-424 APPLICATION FOR FEDERAL ASSISTANCE

Form SF-424 “Application for Federal Assistance” is available via the FMPP opportunity at Grants.gov.

Most information blocks on the required form are either self-explanatory or are adequately explained in the instructions. However, for FMPP applications, you must use the following supplemental instructions associated with specific blocks on form SF-424.

Block Instructions:

#1 Type of Submission Application #2 Type of Application New #4 thru #7 Not required #8c Organizational DUNS Applicant DUNS# for the Organization submitting the application. See D&B Request a DUNS Number

#8d Address Enter the organization street address as it appears in SAM.gov. P.O. Boxes will not be accepted. Enter a 9-digit zip code.

9 | P a g e http://www.ams.usda.gov/AMSv1.0/getfile?dDocName=STELPRDC5110854 http://www.ams.usda.gov/AMSv1.0/getfile?dDocName=STELPRDC5110855 http://fedgov.dnb.com/webform

#10 Name of Federal Agency AMS, USDA #11 Catalog of Federal Domestic Assistance Number

10.168

#12 Funding Opportunity Number USDA-AMS-FMPP-2015 #13 Competition Identification Number Not applicable #14 Areas Affected by Project Enter cities, counties, states affected by project

#15 Descriptive Title of Applicant’s Project

Provide only project title, not to exceed 10 words

#16a Congressional Districts for Applicant

Enter the Congressional district where your main office is located.

#16b Congressional Districts for Program/Project

Enter the Congressional district where your project will be implemented. Write “All” if the projects will be implemented in more than one location.

#17 Proposed Project Start Date and End Date

Start Date: September 30, 2015.

End date: September 29, 2017 (all agreements will be 2 years, but applicant can finish early).

#18a Estimated Funding - Federal Total FMPP funds requested.

#18b – 18f Estimated Funding – Applicant Not required #19 Is Applicant Subject to Review by State Under Executive Order 12372 Process?

This initiative is subject to intergovernmental review. Consult this website to determine applicability in your State.

4.3.2 SF-424 ASSURANCES FOR NON-CONSTRUCTION PROGRAMS

The SF-424B is available via the FMPP opportunity at Grants.gov. This form must be signed by the authorized certifying official.

4.3.3 AD-3030, REPRESENTATIONS REGARDING FELONY CONVICTION AND TAX

DELINQUENT STATUS FOR CORPORATE APPLICANTS

Any entity that has filed articles of incorporation with a State government, DC, etc. must complete this form.

4.3.4 AD-3031, ASSURANCE REGARDING FELONY CONVICTION OR TAX

DELINQUENT STATUS FOR CORPORATE APPLICANTS

Any entity that has filed articles of incorporation with a State government, DC, etc. must complete this form.

4.3.5 PROJECT NARRATIVE (REQUIRED)

FMPP requires each applicant to prepare their narrative using the FMPP Project Narrative. This form and instructions are on the FMPP website: www.ams.usda.gov/fmpp. All applicants should use this form in its recommended Microsoft Word format.

The required narrative must be typed, single-sided, single-spaced, in a 12-point Times New Roman font, not to exceed twelve 8.5 x 11 pages. Save and submit the narrative in its current MS Word format (.doc, .docx)—do not PDF. The budget and supporting documents, such as letters of support and biographies/resumes of key personnel, do not count against the 12-page limit. Clearly indicate at the top

10 | P a g e http://www.whitehouse.gov/omb/grants_spoc http://www.whitehouse.gov/omb/grants_spoc http://www.ams.usda.gov/fmpp of supporting letter that they are a SUPPORT letters. Congressional letters of support do not carry more weight than other letters of support.

Handwritten applications will be not accepted. Ensure that upon application submission to Grants.gov, your document is in final form (e.g. if you used the “track changes” function, accept all changes before submitting so that the mark-up is not visible upon final submission).

4.3.6 FMPP PROJECT BUDGET (REQUIRED)

FMPP requires each applicant to prepare and submit their project budget using the FMPP Project Budget Form. Please see the Instructions Tab on the workbook for details required for each Budget Item. After completing the budget form, save and submit the budget in its current MS Excel worksheet format (.xls, .xlsx)—do not PDF. The budget does not count toward the narrative’s 12-page limit.

FMPP requires an itemized, line-by-line budget. Each budget line (category) must be included in the budget along with an actual cost estimate based on a price analysis, vendor quote, cost per unit (including staff time), and justified in the project narrative. Refer to Section 4.7.2 for additional information on allowable and unallowable costs.

Ensure that the organization, contact information, and the total budget numbers match the information provided on the SF-424 (Section 4.3.1) and the Project Narrative form (Section 4.3.5).

4.3.7 CRITICAL RESOURCES AND INFRASTRUCTURE (REQUIRED, AS

APPLICABLE)

Letters and/or other evidence of commitment from resource providers should establish the fact that critical resources and infrastructure required to initiate and implement the project are in place at the time of proposal submission. The proposed project must not be dependent on the completion of another project or the receipt of another grant. Land and structures must be in place and committed prior to submitting an application to FMPP.

4.3.8 LETTER FROM A PROMISE ZONE IMPLEMENTATION PARTNER (REQUIRED,

IF APPLICABLE)

If the proposal involves a Promise Zone Implementation partner, a letter from this entity must accompany the proposal at the time of application. The letter should affirm the partnership and describe how the proposal meets the goals of the Promise Zone initiative and include the following:

• The name of the organization applying to FMPP

• The name of the project being implemented in the Promise Zone

• The expected benefits of the project to the Promise Zone strategy

• A statement expressing the nature of the partnership

4.3.9 OTHER DOCUMENTATION (NOT REQUIRED)

A. Personnel Qualifications

Provide no more than a one- to two-page resume which contains a brief description(s) of experience and qualifications of those leading or conducting project activities. Qualifications should reflect the expertise necessary to carry out the proposed activities or similar types of activities.

11 | P a g e http://portal.hud.gov/hudportal/HUD?src=/program_offices/comm_planning/economicdevelopment/programs/pz

B. Letter(s) of Commitment from Partners, Cooperators, and Contractors

Provide letters of commitment from those that will be involved in the implementation of the project. Do not send original letters. Unsigned letters and email messages in lieu of letters will not be accepted.

Form letters are discouraged. Clearly indicate at the top of the letter that it is a LETTER OF

COMMITMENT.

C. Letter(s) of Support from Stakeholders or Beneficiaries

Provide letters of support from stakeholders or beneficiaries detailing the expected benefits of the project to the group. Do not send original letters. Unsigned letters and email messages in lieu of letters will not be accepted. Form letters are discouraged. Clearly indicate at the top of the letter that it is a SUPPORT letter.

4.4 DISQUALIFICATION OF SUBMITTED APPLICATION

The application will be disqualified if it:

• Is received after the deadline

• Is submitted via any method other than through www.Grants.gov

• Is incomplete (does not include all the required application forms and documents)

• Does not follow the requirements for formatting, length, and submission.

AMS will also disqualify an application (after submission or prior to award) if FMPP confirms that:

• An applicant or recipient has not fulfilled all the terms and conditions of a previous Federal award

• An applicant or recipient has committed fraud, including inclusion of materially misleading or incorrect information on the application (such as misrepresentation of DUNS registration or false identity statements)

• An applicant or recipient has mismanaged Federal funds

• The FMPP proposal is funding the same work by/with another organization

• Critical resources and infrastructure documentation is incomplete or missing

• An applicant is found to be ineligible for a Federal award

4.5 SUBMISSION DATE AND TIME

The deadline for submitting FY 2015 applications is 11:59 pm Eastern Time, May 14, 2015.

Applications must be submitted electronically through Grants.gov. Ensure that all components of the application are complete before submitting them to Grants.gov. Allow enough time for the application process, as it may take more than one attempt before your application is successfully submitted to Grants.gov. Only applications submitted and validated by 11:59 pm EDT on May 14, 2015, to Grants.gov will be accepted—deadline extensions will not be considered.

4.6 INTERGOVERNMENTAL REVIEW

FMPP is subject to Executive Order 12372, “Intergovernmental Review of Federal Programs.”

12 | P a g e http://www.fws.gov/policy/library/rgeo12372.pdf

4.7 FUNDING RESTRICTIONS

4.7.1 INDIRECT COSTS

Indirect costs may not exceed 10 percent of the direct costs. To calculate the allowed 10 percent, use the formula:

Projected Direct Costs ($) multiplied by Maximum Indirect Costs Allowed (%) = Highest Possible Indirect Costs

Example: $90,909 * 10% = $9,091

Using this formula and based on this example, an applicant who has $90,909 in direct costs could have up to $9,091 in indirect costs, and a total of $100,000 as “Requested Federal Funds.”

Direct charging of these costs may be appropriate where the following conditions are met:

1. Administrative or clerical services are integral to a project or activity;

2. Individuals involved can be specifically identified with the project or activity;

3. Such costs are explicitly included in the budget or have the prior written approval of the Federal awarding agency; and

4. The costs are not also recovered as indirect costs.

Indirect costs (also known as “facilities and administrative costs”—defined at 2 CFR §200.56) represent the expenses of doing business that are not readily identified with a particular grant, contract, project function or activity, but are necessary for the general operation of the organization and the conduct of activities it performs. Refer to 2 CFR §200.413 and 414 for additional information on determining if costs charged to the award are direct or indirect.

If an applicant has a negotiated indirect cost rate greater than 10 percent of total direct costs, the applicant must submit a copy of their approved Indirect Cost Rate Proposal to substantiate its request for the establishment of an indirect cost rate above 10 percent as described in appendices below.

If an applicant chooses to negotiate for a rate, the applicant must contact the cognizant agency for indirect costs. The cognizant agency is determined by calculating which Federal agency provides the most grant funding. For assignments of cognizant agencies see the following:

(a) For IHEs: Appendix III to Part 200—Indirect (F&A) Costs Identification and Assignment, and Rate Determination for Institutions of Higher Education (IHEs), paragraph C.11.

(b) For nonprofit organizations: Appendix IV to Part 200—Indirect (F&A) Costs Identification and Assignment, and Rate Determination for Nonprofit Organizations, paragraph C.12.

(c) For state and local governments: Appendix V to Part 200—State/Local Governmentwide Central Service Cost Allocation Plans, paragraph F.1.

(d) For Indian tribes: Appendix VII to Part 200—States and Local Government and Indian Tribe Indirect Cost Proposal, paragraph D.1.

4.7.2 ALLOWABLE AND UNALLOWABLE COSTS AND ACTIVITIES

13 | P a g e http://www.ecfr.gov/cgi-bin/text-idx?node=2:1.1.2.2.1&rgn=div5%23se2.1.200_156 http://www.ecfr.gov/cgi-bin/text-idx?node=2:1.1.2.2.1&rgn=div5%23se2.1.200_1413 http://www.ecfr.gov/cgi-bin/text-idx?node=2:1.1.2.2.1&rgn=div5%23se2.1.200_1414 http://www.ecfr.gov/cgi-bin/text-idx?node=2:1.1.2.2.1&rgn=div5%23ap2.1.200_1521.iii http://www.ecfr.gov/cgi-bin/text-idx?node=2:1.1.2.2.1&rgn=div5%23ap2.1.200_1521.iv http://www.ecfr.gov/cgi-bin/text-idx?node=2:1.1.2.2.1&rgn=div5%23ap2.1.200_1521.v http://www.ecfr.gov/cgi-bin/text-idx?node=2:1.1.2.2.1&rgn=div5%23ap2.1.200_1521.vii

The following is information on allowable and unallowable costs in common categories of FMPP proposal budgets. This section is not intended to be all-inclusive. The applicant should reference Subpart E-Cost Principles of 2 CFR part 200 for the complete explanation of the allowability of costs.

Applicants that have questions concerning the allowability of costs after reviewing the associated cost should contact FMPP.

Item Description

Buildings and Land - Construction

Unallowable for the acquisition of buildings, facilities, or land or to make additions, improvements, modifications, replacements, rearrangements, reinstallations, renovations or alterations of an existing building or facility (including site grading and improvement, and architecture fees). This also includes construction and construction-related materials, which may include, but are not limited to the purchase of building materials such as wood, nails, concrete, asphalt, roofing, gravel, sand, paint, insulation, drywall, or plumbing.

Allowable for rental costs of land with prior approval.

A building is any permanent structure designed or intended for support, enclosure, shelter or protection of people, animals or property having a permanent roof supported by columns or walls.

Conferences Unallowable if the project solely consists of conference/workshop costs. A conference must be part of a larger project. The applicant should clearly indicate the purpose and target audience for any conference or workshop, and explain how the activity will be paid for. Also indicate if registration fees will be collected and if so, show the fees as program income on the project and budget narrative form. FMPP will not pay for food or refreshments for such conferences.

Rent of a building or room for training is allowable, however, where appropriate.

FMPP encourages the use of technologies such as webinars, teleconferencing, or videoconferencing as an alternative to renting a building or a room. If renting a building or a room is necessary, the most cost-effective facilities such as State government conference rooms should be utilized.

Unallowable for meal costs (breakfast, lunch and dinner) unless the applicant justifies that to do so would otherwise impose arduous conditions on the continuity of a meeting and its participants. Breakfasts for conference attendees are usually considered unallowable as it is expected that individuals will have sufficient time to dine on their own before the conference begins.

Allowable for meals consumed while in official travel status. They are considered per diem expenses and should be reimbursed in accordance with the organization’s established written travel policies.

Contingency Unallowable for miscellaneous and similar rainy-day funds for events the

14 | P a g e http://www.ecfr.gov/cgi-bin/text-idx?node=2:1.1.2.2.1&rgn=div5%23sp2.1.200.e

Item Description

Provisions occurrence of which cannot be foretold with certainty as to the time or intensity, or with an assurance of their happening.

Contributions or Donations

Unallowable for contributions or donations, including cash, property, and services, made by the recipient, regardless of the recipient (also referred to as “re-granting of funds”). This includes offering incentives such as coupons and discounted services.

Entertainment Costs Allowable with prior approval for entertainment costs related to the project.

Equipment Unallowable for acquisition costs of general purpose equipment.

Allowable for rental costs of general purpose equipment. Vehicles may be leased, but not purchased.

For vehicle and equipment leases or rentals with an acquisition cost that equals or exceeds $5,000, rates should be in light of such factors as: rental costs of comparable vehicles and equipment, if any; market conditions in the area;

alternatives available; and the type, life expectancy, condition, and value of the vehicle or equipment leased.

Allowable for acquisition costs and rental costs of special purpose equipment provided the following criterion is met:

1) Necessary for the research, scientific, or other technical activities of the grant award;

2) Not otherwise reasonably available and accessible;

3) The type of equipment is normally charged as a direct cost by the organization;

4) Acquired in accordance with organizational practices;

5) Must only be used to <solely meet the legislative purpose of the grant program and objectives of the grant award>;

6) More than one single commercial organization, commercial product, or individual must benefit from the use of the equipment;

7) Must not use special purpose equipment acquired with grant funds to provide services for a fee to compete unfairly with private companies that provide equivalent services; and

8) Equipment is subject to the full range of acquisition, use, management, and disposition requirements under 2 CFR part 200.313 as applicable.

Equipment is defined as tangible personal property (including information technology systems) having a useful life of more than one year and a per-unit acquisition cost which equals or exceeds the lesser of the capitalization level

15 | P a g e http://www.ecfr.gov/cgi-bin/retrieveECFR?gp=&SID=27767ced17852a0f709e351009375919&n=pt2.1.200&r=PART&ty=HTML%23se2.1.200_1313 established by the non-Federal entity for financial statement purposes, or $5,000. Recipients and subrecipients purchasing equipment are encouraged to use funds to purchase only American-made equipment or products.

Acquisition cost means the cost of the asset including the cost to ready the asset for its intended use. Acquisition cost for equipment, for example, means the net invoice price of the equipment, including the cost of any modifications, attachments, accessories, or auxiliary apparatus necessary to make it usable for the purpose for which it is acquired.

General Purpose Equipment means equipment that is not limited to technical activities. Examples include office equipment and furnishings, modular offices, telephone networks, information technology equipment and systems, air conditioning equipment, reproduction and printing equipment, and motor vehicles.

Special Purpose Equipment is equipment used only for research or technical activities. Examples include mobile markets/food trucks; etc.

Farm, Gardening, and Production Activities and Supplies

Unallowable for farm, gardening, and production activities, materials, supplies, and other related costs.

Fines, Penalties, Damages and Other Settlements

Unallowable for costs resulting from violations of, alleged violations of, or failure to comply with, Federal, state, tribal, local or foreign laws and regulations.

Fund Raising and Investment Management Costs

Unallowable for organized fundraising, including financial campaigns, solicitation of gifts and bequests, and similar expenses incurred to raise capital or obtain contributions, regardless of the purpose for which the funds will be used.

This includes salaries of personnel involved in activities to raise capital.

Food for Displays, Tastings, Cooking Demonstrations

Allowable for food for displays, tastings, and cooking demonstrations with prior approval if the project expected outcome is an increase in sales. The applicant must include quantitative metrics quantifying the increase in sales in their project narrative and report on the change in sales in Interim Performance Reports and the Final Performance Report.

Goods or Services for Personal Use

Unallowable for costs of goods or services for personal use of employees regardless of whether the cost is reported as taxable income to the employees.

Insurance and Allowable as indirect costs for insurance and indemnification.

16 | P a g e

Indemnification

Memberships, Subscriptions, and Professional Activity Costs

Unallowable for costs of membership in any civic or community organization.

Allowable for costs of membership in business, technical, and professional organizations.

Organization Costs Allowable with prior approval for organization costs per 2 CFR 200.455.

Unallowable for costs of investment counsel and staff and similar expenses incurred to enhance income from investments.

Participant Support Costs

Allowable with prior approval, for participant support costs for items such as stipends or subsistence allowances, travel allowances, and registration fees paid to or on behalf of participants or trainees (but not employees) in connection with conferences, or training projects.

Pre-Award Costs Allowable, if such costs are necessary to conduct the project or program, and would be allowable under the grant, if awarded.

A recipient may incur pre-award costs 90 calendar days before FMPP makes the award without prior approval from FMPP. Expenses more than 90 calendar days pre-award require FMPP prior approval. All costs incurred before FMPP makes the award are at the recipient’s risk. The incurrence of pre-award costs in anticipation of an award imposes no obligation on FMPP to award funds for such costs.

Rearrangement and Reconversion Costs

Allowable as indirect costs incurred for ordinary and normal rearrangement and alteration of facilities. Allowable as direct costs with prior approval for special arrangements and alterations costs incurred specifically for the award.

Selling and Marketing Costs

Allowable with prior approval for selling and marketing direct costs. These include, but are not limited to:

Advertising media costs to promote a producer-to-consumer direct marketing effort. Advertising media is newspaper; radio; television;

direct mail; bus, signs, or other advertisement wraps; and other electronic and computer transmittals.

Promotional items such as point-of-sale materials, promotional kits, billboard space, signs or streamers, automobile stickers, table tents, and place mats, or promotional items of a personal nature.

Public relations activities utilizing advertising media to promote a direct producer-to-consumer marketing to the public or a specific and FMPP approved audience.

17 | P a g e

Purchase of food for displays, tastings, or cooking demonstrations.

Unallowable for the purchase of food-related incentives, including any types of bonuses, coupons, and vouchers.

Travel Costs Unallowable for travel costs of government officials per 2 CFR 200.444, including travel costs for AMS employees.

Unallowable for international travel.

4.8 OTHER SUBMISSION REQUIREMENTS

FMPP requires applicants to submit applications electronically through the central Federal grants website, www.Grants.gov.

Data Universal Number System (DUNS) Number Requirement. Applicants must have a DUNS number at the time of application submission. A DUNS number may be acquired at no cost online at http://fedgov.dnb.com/webform. To acquire a DUNS number by phone, contact the D&B Government Customer Response Center:

URL: http://www.dnb.com/get-a-duns-number.html Hours: Monday – Friday 7 a.m. to 8 p.m., CST US Calls and U.S. Virgin Islands: 866-705-5711 Alaska and Puerto Rico: 800-234-3867 (Select option 2, then option 1)

Registration Requirement www.SAM.gov: Applicants must be registered with http://www.SAM.gov prior to submitting a completed application package. Should your organization be selected for a Federal award, the funding will be disbursed via Electronic Funds Transfer to the bank account registered in this system. The registration processes can take at least 5 weeks.

For SAM Customer Service, contact the Federal Service Desk:

URL: www.fsd.gov Hours: 8am - 8pm (Eastern Time) US Calls: 866-606-8220

Registration and Application Submission www.Grants.gov. For information on how to apply electronically via Grants.gov, consult the Grants.gov Get Registered webpage. Applicants experiencing problems in electronic preparation or submission of documentation should contact, the Grants.gov Contact Center at:

URL: www.Grants.gov Email: support@grants.gov Hours: Monday-Friday, 7 a.m. to 9 p.m., Eastern Time; closed on Federal Holidays.

US Calls: 800-518-4726

If you are experiencing submission issues, keep a record of any correspondence with Grants.gov, including any ID or case number provided.

18 | P a g e http://www.ecfr.gov/cgi-bin/text-idx?node=2:1.1.2.2.1&rgn=div5%23se2.1.200_1444 http://fedgov.dnb.com/webform http://www.dnb.com/get-a-duns-number.html http://www.sam.gov/ http://www.sam.gov/ https://fsd.gov/fsd-gov/home.do http://www.grants.gov/ http://www.grants.gov/web/grants/applicants/organization-registration.html

How Do I Know If My Grant Has Been Submitted? Grants.gov will send the following communications to applicants upon final submission. If you do not receive these confirmations, contact Grants.gov to check the status of the application.

1. Submission Receipt Email (with "Track My Application" link): Within two business days after the application package has been received by Grants.gov, applicants will receive a submission receipt email which indicates that the submission has entered the Grants.gov system and is ready for validation. This email contains a tracking number for use while tracking the status of the submission as well as a "Track My Application" link, to use to see the progress of the submission.

2. Submission Validation (or Rejection with Errors): Grants.gov checks for technical errors within the submitted application package, but it does not review application content for award determination. After applicants receive the submission receipt email, the next email will be a message either validating the submitted application package, or rejecting the submitted application package with errors. If an applicant does not receive both a receipt confirmation AND either a validation confirmation or a rejection email message within two business days, Grants.gov should be contacted as soon as possible.

3. AMS Retrieval Email: Once the application package has passed validation, it is delivered to FMPP. After FMPP confirms receipt of the application, a third email will be sent from Grants.gov.

5.0 APPLICATION REVIEW INFORMATION

5.1 PROJECT EVALUATION CRITERIA

Each application will be reviewed competitively using the following criteria and scoring:

1. Purpose (20 points) The proposal meets the objectives of the Farmers Market Promotion Program (section 1.2) as outlined by the 2014 Farm Bill and will serve the intended beneficiaries.

2. Approach (25 points) The project proposal work plan is well-written and clearly delineates how the work will meet the intended goals and objectives, and successfully assist its beneficiaries. Project personnel demonstrate appropriate qualifications, knowledge and experience necessary to carry out the project. Partnerships are appropriate and reliable to accomplish and accentuate the work and are documented with letters of support.

3. Budget (20 points) All budget items are allowable, reasonable, allocable, and clearly described, and all items clearly correlate with the purpose and goals of the project. All letters of support/verification are provided. Needed infrastructure that will not be paid by the grant is in place.

4. Impact (20 points) The proposal clearly describes expected outcomes, the intended beneficiaries, and how it will be evaluated while in progress and upon conclusion. Both quantitative and qualitative metrics

19 | P a g e are described to demonstrate how the project will assess impact on intended beneficiaries to include but not limited to the following (baseline and completed project) metrics:

a. Number of direct or indirect jobs retained and created

b. Number of markets expanded and/or new markets established, or expanded consumer base served

c. Dollar amount and percentage change in market sales

d. Number of farmer/producer beneficiaries

5. Outreach (15 points) The proposal outlines a plan to disseminate project results electronically and in person to the target audience, stakeholders, and interested parties beyond those directly served by the project.

A means of collecting feedback on the results is included. Outreach can be expected to continue beyond the term of the project.

5.2 REVIEW AND SELECTION PROCESS

Step 1: Initial Screening

To meet the basic eligibility requirements, each submitted FMPP proposal must contain the properly completed, required documentation listed in Section 4.2. Projects that do not properly submit these items will not be submitted for Step 2 (below).

Step 2: Technical Review

Each FMPP application (project), i.e., the proposal narrative, budget, critical resources and infrastructure, and applicable supporting documentation, is evaluated by peer reviewers. To eliminate bias, AMS assigns reviewers to projects that are not in their geographic area or associated with their business in any way. Each reviewer also signs a conflict of interest and confidentiality agreements regarding any assigned proposals. The reviewers are not permitted to apply for FMPP grant funds, or receive financial benefit from any submitted application during the year on which they serve on the review panel.

Selected peer reviewers will have a diverse expertise, representing agricultural businesses, cooperatives, producer networks, producer associations, CSA networks and associations, local governments, non-profit corporations, public benefit corporations, economic development corporations, regional farmers market authorities and tribal governments, and others with knowledge of direct-to-consumer marketing activities.

The peer review panel evaluates each proposal using instructions prepared by AMS officials. Individual reviewers evaluate and score their assigned proposals and then confer with other team members to derive a consensus score. The consensus review serves as the basis for awarding and allocating FMPP grant funds and focuses on strengths and weaknesses of each proposal.

Step 3: Federal Assistance Regulations Review

FMPP will conduct a final administrative evaluation of each review panel’s top rankings and recommendations. In addition to the scores, AMS reviews each award to ensure that recommended projects align with the FMPP scope, allowability/allocability of budget items, and available funding.

20 | P a g e

Projects that do not score high enough to make the final evaluation will not undergo final Federal Assistance Regulation review.

FMPP staff will work with top-ranked applicants to negotiate any revisions if necessary and possible.

AMS will also assess your organization’s ability to account for the use of Federal funds and monitor the performance associated with these monies. This assessment will consider your organization’s:

1. Financial stability;

2. Quality of management systems and ability to meet the management standards prescribed in 2

CFR 200;

3. History of performance (your record in managing Federal awards, if you have previously received Federal awards, including timeliness of compliance with applicable reporting requirements, conformance to the terms and conditions of previous Federal awards, and if applicable, the extent to which any previously awarded amounts will be expended prior to future awards);

4. Reports and findings from audits performed under Subpart F—Audit Requirements of 2 CFR 200 or the reports and findings of any other available audits; and

5. Ability to effectively implement statutory, regulatory, or other requirements imposed on your organization.

6.0 AWARD ADMINISTRATION INFORMATION

6.1 AWARD NOTICES

Upon announcement of the federal awards, FMPP will prepare and send a Grant Agreement to each recipient for signature by the appropriate official. Grant Agreements consist of a 1-page Agreement Face Sheet (AMS-33) that will be signed by AMS and the appropriate recipient official.

The Grant Agreement sets forth pertinent information about the federal award, including, but not limited to, the following:

• Federal Agreement Identification Number (FAIN) or “agreement number;”

• Statutory authority for the award and any applicable program regulations;

• Name of Recipient organization;

• Name of the Recipient Project Coordinator;

• Approved period of performance start and end dates;

• Amount of Federal funds authorized for obligation by the recipient;

• Name of the Federal Agency Project Manager; and

• Terms and Conditions of Award, by either reference or inclusion.

6.2 UNSUCCESSFUL APPLICANTS

Unsuccessful applicants will be contacted by FMPP via email as soon as possible after the FMPP awards are announced to inform them of the results. FMPP will email unsuccessful applicants anonymous review panel consensus comments regarding their proposals as feedback.

21 | P a g e

6.3 ADMINISTRATIVE AND NATIONAL POLICY REQUIREMENTS

Several federal statutes and regulations apply to grant applications considered for review and to project grants awarded under this program. These include, but are not limited to the ones listed below.

2 CFR part 25 – System for Award Management and Universal Identifier Requirements

2 CFR part 170 – Reporting Subaward and Executive Compensation Information

2 CFR part 175 – Award Term for Trafficking in Persons, which is the implementation of the Trafficking Victims Protection Act of 2000, as amended (22 U.S.C. 7104(g))

2 CFR part 180 and part 417 – OMB Guidelines to Agencies on Government-Wide Debarment and Suspension (Nonprocurement) and USDA Nonprocurement Debarment and Suspension

2 CFR part 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards

2 CFR part 400 – USDA implementation of 2 CFR part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards

2 CFR part 415 – USDA General Program Administrative Regulations

2 CFR part 416 – USDA General Program Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments

2 CFR part 418 – USDA implementation of Restrictions on Lobbying - Imposes prohibitions and requirements for disclosure and certification related to lobbying on recipients of federal contracts, grants, cooperative agreements, and loans.

2 CFR part 421 – USDA Implementation of Government-wide Requirements for Drug-Free Workplace (Financial Assistance)

7 CFR part 1, subpart A – USDA implementation of the Freedom of Information Act

7 CFR part 1b – USDA procedures to implement the National Environmental Policy Act of 1969, as amended

7 CFR part 3 – USDA…