FY 2018 FINI_Final.pdf

Food Insecurity Nutrition Incentive (FINI)

Grant Program

2018 Request for Applications (RFA)

APPLICATION DEADLINE: December 13, 2017

ELIGIBILITY: See Part III, A of RFA

NATIONAL INSTITUTE OF FOOD AND AGRICULTURE; U.S. DEPARTMENT OF

AGRICULTURE

Food Insecurity Nutrition Incentive (FINI) Grant Program

INITIAL ANNOUNCEMENT

CATALOG OF FEDERAL DOMESTIC ASSISTANCE: This program is listed in the

Catalog of Federal Domestic Assistance under 10.331.

DATES: Applications must be received by 5 p.m. Eastern Time on December 13, 2017, 5 p.m. EST. Applications received after this deadline will normally not be considered for funding (see Part IV, C of this RFA). Comments regarding this request for applications (RFA) are requested within six months from the issuance of this notice. Comments received after that date will be considered to the extent practicable.

STAKEHOLDER INPUT: We at the National Institute of Food and Agriculture (NIFA) seek your comments about this RFA. We will consider your comments when we develop the next

RFA for the program, if applicable, and we’ll use them to meet the requirements of section

103(c)(2) of the Agricultural Research, Extension, and Education Reform Act of 1998 (7 U.S.C.

7613(c)(2)). Submit your written stakeholder comments by the deadline set forth in the DATES portion of this notice via email to Policy@nifa.usda.gov. (This email address is only for receiving comments regarding this RFA and not for requesting information or forms.) In your comments, please state that you are responding to the Food Insecurity Nutrition Incentive

(FINI) Grant Program RFA.

EXECUTIVE SUMMARY: NIFA requests applications for the Food Insecurity Nutrition

Incentive (FINI) Grant Program for fiscal year (FY) 2018 to support projects to increase the purchase of fruits and vegetables among low-income consumers participating in the

Supplemental Nutrition Assistance Program (SNAP) by providing incentives at the point of purchase. The anticipated amount available for NIFA to support this program in FY 2018 is approximately $21 million. This RFA is being released prior to the passage of an appropriations act for FY 2018. Enactment of additional continuing resolutions or an appropriations act may affect the availability or level of funding for this program.

This notice identifies the objectives for FINI projects, deadline dates, funding information, eligibility criteria for projects and applicants, and application forms and associated instructions needed to apply for a FINI grant.

A webinar reviewing this proposal and match requirements will be held on October 19, 2017 at 2:00pm Eastern Time for potential applicants. The webinar will be recorded and posted to the FINI webpage accessible here: https://nifa.usda.gov/program/food-insecurity-nutrition-incentive-fini-grant-program. The webinar can be accessed at https://nifa-connect.nifa.usda.gov/finip/.

mailto:Policy@nifa.usda.gov https://nifa.usda.gov/program/food-insecurity-nutrition-incentive-fini-grant-program https://nifa.usda.gov/program/food-insecurity-nutrition-incentive-fini-grant-program https://nifa-connect.nifa.usda.gov/finip/ https://nifa-connect.nifa.usda.gov/finip/

Table of Contents

PART I—FUNDING OPPORTUNITY DESCRIPTION

A. Legislative Authority and Background

B. Purpose and Priorities C. Program Area Description D. Program Policy

PART II—AWARD INFORMATION

A. Available Funding B. Types of Applications C. Project Types

PART III—ELIGIBILITY INFORMATION

A. Eligible Applicants B. Cost Sharing or Matching

PART IV—APPLICATION AND SUBMISSION INFORMATION

A. Electronic Application Package B. Content and Form of Application Submission

C. Submission Dates and Times D. Funding Restrictions

E. Other Submission Requirements

PART V—APPLICATION REVIEW REQUIREMENTS

A. General

B. Evaluation Criteria

C. Conflicts of Interest and Confidentiality D. Organizational Management Information

E. Application Disposition

PART VI—AWARD ADMINISTRATION

A. General B. Award Notice

C. Administrative and National Policy Requirements D. Expected Program Outputs and Reporting Requirements

PART VII—AGENCY CONTACT

PART VIII—OTHER INFORMATION

A. Use of Funds; Changes

2. Changes in Budget or Project Plans B. Confidential Aspects of Applications and Awards C. Regulatory Information D. Definitions E. Materials Available on the Internet

PART I—FUNDING OPPORTUNITY DESCRIPTION

A. Legislative Authority and Background

The Food Insecurity Nutrition Incentive (FINI) Grant Program is authorized by section 4208 of the Agricultural Act of 2014, which amends section 4405 of the Food, Conservation, and Energy

Act of 2008 (“FCEA”) (7 U.S.C. 7517). The authority to administer this program was delegated to the Director of NIFA through the Under Secretary for Research, Education, and Economics

(REE). See 79 FR 44101 (July 30, 2014), available at http://www.gpo.gov/fdsys/pkg/FR-2014-

07-30/pdf/2014-17352.pdf. In FY 2018, it is anticipated that up to $21,000,000 will be available for grants under this program.

B. Purpose and Priorities

The FINI RFA directly aligns with the Research, Education, and Economics Action Plan

(https://nifa.usda.gov/resource/ree-action-plan) and specifically addresses Goal 4 by strengthening established strategic partnerships and strengthening implementation practices to encourage healthy eating and physical activity at the individual and community levels, focusing on high-risk groups and also advancing Strategic Goal 4.2 of the USDA Strategic

Plan https://nifa.usda.gov/resource/usda-strategic-plan-fy-2014-2018).

FINI specifically addresses NIFA’s Strategic Goal 1 (Subgoal 1.1) https://nifa.usda.gov/resource/nifa- strategic-plan-fy2014-fy2018.

The primary goal of the FINI grant program is to fund and evaluate projects intended to

“increase the purchase of fruits and vegetables by low-income consumers participating in

[SNAP] by providing incentives at the point of purchase” (FCEA, § 4405(b)(2)(A)(ii)(II)). For

FINI grant, NIFA defines “fruits and vegetables” as “any variety of fresh, canned, dried, or frozen whole or cut fruits and vegetables without added sugars, fats, or oils, and salt (i.e.

sodium).” The program will test strategies that could contribute to our understanding of how best to increase the purchase of fruits and vegetables by Supplemental Nutrition Assistance

Program (SNAP) participants to inform future efforts, and develop effective and efficient benefit redemption technologies.

The Act requires the Secretary to conduct an independent evaluation of funded projects, to measure the impact of projects on: “improving the nutrition and health status of participating households receiving incentives” and “increasing fruit and vegetable purchases in participating households.”

Incentivizing purchases of fruits and vegetables increases their affordability and consumption.

For example, USDA recently completed an evaluation of the Healthy Incentives Pilot (HIP), which investigated the impact of making fruits and vegetables more affordable to SNAP participants. Under HIP, SNAP households received 30 cents on every SNAP dollar they spent on targeted fruits and vegetables at participating SNAP-authorized retailers including large supermarkets, grocery stores and farmers markets. This pilot operated in Hampden County, MA between November 2011 and December 2012. A rigorous evaluation showed that HIP significantly increased the consumption of targeted fruits and vegetables and this increased consumption was on the order of about one quarter of a cup per day. The final evaluation report http://www.gpo.gov/fdsys/pkg/FR-2014-07-30/pdf/2014-17352.pdf http://www.gpo.gov/fdsys/pkg/FR-2014-07-30/pdf/2014-17352.pdf http://www.gpo.gov/fdsys/pkg/FR-2014-07-30/pdf/2014-17352.pdf https://nifa.usda.gov/resource/ree-action-plan https://nifa.usda.gov/resource/usda-strategic-plan-fy-2014-2018 https://nifa.usda.gov/resource/nifa-strategic-plan-fy2014-fy2018 https://nifa.usda.gov/resource/nifa-strategic-plan-fy2014-fy2018 is available online at http://www.fns.usda.gov/healthy-incentives-pilot-final-evaluation-report.

Grantees that receive both FINI and SNAP-Ed funds must keep in mind the following guidelines:

SNAP-Ed is an evidence-based program that helps people lead healthier lives. SNAP-Ed teaches people using or eligible for SNAP about good nutrition and how to make their food dollars stretch further. SNAP-Ed participants also learn to be physically active.

While SNAP-Ed providers are encouraged to form partnerships and collaborations in order to leverage resources, SNAP-Ed funds may not be used to provide actual cash or other financial incentives.

SNAP-Ed funds can be used for policy, systems and environmental change interventions, such as working with retailers on fruit and vegetable product placement, and social marketing in addition to educational efforts at venues such as Farmers Markets, Senior

Centers, Child Care locations, etc.

All FINI projects must (1) aim to increase the purchase of fruits and vegetables by low-income consumers participating in SNAP by providing incentives at the point of purchase; (2) operate through authorized and reported SNAP retailers per Part I Section D of this RFA titled “Program

Policy”, and in compliance with all relevant SNAP regulations and operating requirements; (3) agree to participate in the FINI comprehensive program evaluation and facilitate participation through data collection and the use of Data Use Agreements and Memoranda of Understanding as outlined in Part IV Section B titled “Content and Form of Application Submission” and Part I

Section D of this RFA titled “Program Policy”; (4) ensure that the same terms and conditions apply to purchases made by individuals with SNAP benefits and with incentives provided under the FINI grant program as apply to purchases made by individuals who are not members of households receiving benefits as provided in 7 C.F.R. 278.2(b); (5) include effective and efficient technologies for benefit redemption systems that may be replicated in other States and communities; and (6) applicants proposing projects that require interaction with or modification of

EBT systems must submit a letter of support from applicable SNAP State Agencies as part of their grant application. All other applicants are encouraged, but are not required, to submit letters of support from applicable SNAP State Agencies as part of their grant application.

In reviewing applications submitted in response to this RFA, and depending on the type of FINI project (as described in further detail in Part I, C.1, C.2, and C.3), NIFA will give priority to projects that:

• Maximize the share of funds used for direct incentives to participants;

• Test innovative or promising strategies that would contribute to our understanding of how best to increase the purchase of fruits and vegetables by SNAP participants, that would inform future efforts;

• Develop innovative or improved benefit redemption systems that could be replicated or scaled;

• Use direct-to-consumer sales marketing;

• Demonstrate a track record of designing and implementing successful nutrition incentive programs that connect low-income consumers and agricultural producers;

http://www.fns.usda.gov/healthy-incentives-pilot-final-evaluation-report http://snaped.fns.usda.gov/

• Provide locally or regionally produced fruits and vegetables (as defined in Subpart

VIII (E) of this document), especially culturally appropriate fruits and vegetables for the target audience;

• Are located in underserved communities, particularly Promise Zones and StrikeForce communities (see Part VIII, E for more information);

Focus on incentives that are most likely to directly and efficiently increase the purchase and consumption of FINI qualifying fruits and vegetables by SNAP clients;

and

Require that SNAP recipients utilize their EBT cards to make qualifying food purchases in order to earn FINI incentives.

FINI projects present the opportunity to bring together stakeholders from distinct parts of the food system and to foster understanding of how they might improve the nutrition and health status of participating households receiving incentives through the purchase of fruits and vegetables. FINI projects are also intended to address the development of effective and efficient technologies for benefit redemption that are replicable by others.

C. Program Area Description

NIFA is soliciting applications for three (3) types of grants: (1) FINI Pilot Projects (FPP);

(2) FINI Projects (FP); and (3) FINI Large Scale Projects (FLSP).

1. FINI Pilot Projects (FPP)

Funding Level: Awards not to exceed $100,000.

Period of Performance: Project period is up to one year.

Program Code: FPP

FINI Pilot Projects (FPP) support the development of projects with an infusion of federal dollars to pilot innovative strategies to increase the purchase of fruits and vegetables (as defined in

Subpart VIII (E) of this document) by low-income consumers participating in the Supplemental

Nutrition Assistance Program (SNAP) by providing incentives at the point of purchase. FPPs must operate through authorized SNAP retailers, and comply with all relevant SNAP regulations and operating requirements. FPPs are aimed at new entrants seeking funding for a project in the early stages of incentive program development. The project should be designed to create community-based food incentive projects with objectives, activities, and outcomes that are in alignment with the FINI grant program’s primary goals. Preference will be given to pilot projects that do one or more of the following:

(i) Maximize the share of funds used for direct incentives to participants;

(ii) Test innovative or promising strategies that would contribute to our understanding of how best to increase the purchase of fruits and vegetables by SNAP participants, to inform future efforts;

(iii) Develop innovative or improved benefit redemption systems that could be replicated or scaled;

(iv) Use direct-to-consumer sales marketing;

(v) Provide locally or regionally produced fruits and vegetables, especially culturally appropriate fruits and vegetables for the target audience;

(vi) Are located in underserved communities, particularly Promise Zones and

StrikeForce communities;

(vii) Focus on incentives that are most likely to directly and efficiently increase the purchase and consumption of FINI qualifying fruits and vegetables by SNAP clients;

and/or

(viii) Require that SNAP recipients utilize their EBT cards to make qualifying food

Examples of FPPs include, but are not limited to, innovative strategies working at point of purchase with SNAP authorized retailers, including food stores, market stands, farmers’ markets, community supported agriculture programs (CSAs), marketing and consumer cooperatives, and other SNAP authorized retailers.

Project Self-Evaluation. All projects must involve SNAP participants. All FPPs must submit a project proposal that includes a method of evaluating the success of the program in developing a viable project. Because FINI Pilot Projects are in the earliest stages of development and would not offer a fair test of effectiveness, they will only be required to submit limited information and data for the comprehensive program evaluation that will inform the Department of potential new strategies and promising new programs to consider in future funding cycles. FPP grantees will be required to provide their self-assessment data to the independent evaluator.

Project assessments must follow USDA guidelines to ensure an appropriate level of comparability of methods, outcomes, and measures.

2. FINI Projects (FP)

Funding Level: Awards not to exceed $500,000.

Period of Performance: Project period is not to exceed four (4) years

Program Code: FIP

FINI Projects (FP) support the development and evaluation of projects to increase the purchase of fruits and vegetables (as defined in Subpart VIII (E) of this document) by low-income consumers participating in SNAP by providing incentives at the point of purchase. The projects will test strategies that could increase the purchase of fruits and vegetables by SNAP participants to inform future efforts, and develop effective and efficient benefit redemption technologies.

FPs should be designed to create or support local community-based food projects with objectives, activities, and outcomes that are in alignment with the FINI grant program’s primary goals. FP(s) are aimed at mid-sized groups developing incentive programs at the local or state level; organizations in this category are typically not new to implementing such programs, although projects are required to expand the breadth, scope or reach of these programs, rather than supplant current program resources. FPs are not in the pilot stages of development and should have established relationships with necessary partners and collaborators. FPs must operate through authorized SNAP retailers, and comply with all relevant SNAP regulations and operating requirements. Preference will be given to projects that do one or more of the following:

to inform future efforts;

(iii) Develop innovative or improved benefit redemption systems that could be

(v) Demonstrate a track record of designing and implementing successful nutrition incentive programs that connect low-income consumers and agricultural producers;

(vi) Provide locally or regionally produced fruits and vegetables, especially culturally

(vii) Are located in underserved communities, particularly Promise Zones and

(viii) Focus on incentives that are most likely to directly and efficiently increase the

(viiii) Require that SNAP recipients utilize their EBT cards to make qualifying food

Examples of FPs include, but are not limited to, innovative strategies working at point of purchase with SNAP authorized retailers, including food stores, market stands, farmers’ markets, CSAs, marketing and consumer cooperatives, and other SNAP authorized retailers.

Project Self-Evaluation. All FPs must involve SNAP participants and include an evaluation of whether the project met its goals and objectives. Project evaluations must follow USDA guidelines to ensure an appropriate level of comparability of methods, outcomes, and measures.

All FPs will also be required to cooperate with and contribute to an independent evaluator conducting the comprehensive program evaluation.

3. FINI Large Scale Projects (FLSP)

Funding Level: Awards of $500,000 or greater

Period of Performance: Project period is not to exceed four (4) years

Program Code: FLSP

The primary purpose of the FINI Large Scale Projects (FLSP) is to develop and evaluate projects to increase the purchase of fruits and vegetables (as defined in subpart VIII (E) of this document) by low-income consumers participating in SNAP by providing incentives at the point of purchase, using effective and efficient benefit redemption technologies. The projects will test strategies that could contribute to our understanding of how best to increase the purchase of fruits and vegetables by SNAP participants to inform future efforts.

FLSP should be designed to create or support multi-county, State-wide and regional incentive programs. FLSP should be coordinated food projects with objectives, activities, and outcomes that align with the FINI grant program’s primary goals. Projects must operate through authorized SNAP retailers, and comply with all relevant SNAP regulations and operating requirements. Projects are required to expand the breadth, scope or reach of these programs, rather than supplant current program resources. Preference will be given to projects that do one or more of the following:

to inform future efforts;

(iii) Develop innovative or improved benefit redemption systems that could be

(v) Demonstrate a track record of designing and implementing successful nutrition incentive programs that connect low-income consumers and agricultural producers;

(vi) Provide locally or regionally produced fruits and vegetables, especially culturally

(vii) Are located in underserved communities, particularly Promise Zones and

(viii) Focus on incentives that are most likely to directly and efficiently increase the

(ix) Require that SNAP recipients utilize their EBT cards to make qualifying food

FINI Large Scale Projects include, but are not limited to, innovative strategies working at point of purchase with SNAP authorized retailers, including food stores, market stands, farmers’ markets, CSAs, marketing and consumer cooperatives, and other SNAP authorized retailers.

Project Self-Evaluation. All projects must involve SNAP participants and include an evaluation of whether the project met its goals and objectives. Project evaluations must follow

USDA guidelines to ensure an appropriate level of comparability of methods, outcomes, and measures. As discussed below, a higher level of rigor will be expected for the FLSP evaluations.

All FLSPs will also be required to cooperate with and contribute to an independent evaluator conducting the comprehensive program evaluation.

D. Program Policy

This section deals with certain aspects of FINI policy and SNAP policy as it pertains to the FINI grant program. Questions regarding the policies discussed below may be directed to

FINI@fns.usda.gov.

General questions about SNAP and EBT should be directed to USDA FNS’s Ask the Expert system at: http://www.fns.usda.gov/ask-the-expert (→ “Nutrition” → “Supplemental Nutrition

Asst Prgm”). This system can provide prompt answers for general SNAP inquiries. Inquiries regarding the evaluation of the FINI grant program should be directed to Westat, the independent evaluator. Other FINI-related inquiries should be directed to NIFA. Contact information is located in Part VII.

Definition of Incentive

The term “incentive” means any financial or non-financial inducements that would increase the purchase and consumption of FINI qualifying fruits and vegetables by SNAP clients.

1. Examples of allowable financial incentives include, but are not limited to, vouchers redeemable for FINI qualifying fruits and vegetables; other SNAP-eligible items received for having purchased FINI qualifying fruits and vegetables; and direct point-of-sale discounts on

FINI qualifying fruits and vegetables.

2. Examples of allowable non-financial incentives include, but are not limited to, giveaways of

FINI qualifying fruits and vegetables; and nutrition education.

3. Examples of unallowable incentives include, but are not limited to, giveaways of alcohol, tobacco, firearms, and lottery tickets.

Incentives that are not allowed may not be paid for with either Federal or matching funds. In addition, the cost of incentives must be allowable under the applicable cost principles in 2 CFR part 200, Subpart E.

SNAP Eligible Food

Financial incentives disbursed through a FINI grant project may only be redeemable for SNAP eligible food as defined by the Food and Nutrition Act of 2008 (the Act) and SNAP regulations at

7 CFR §271.2.

SNAP eligible food is any food or food products (including seeds and plants that produce eligible food) intended for home preparation and human consumption. The following types of products are ineligible for purchase using SNAP benefits: alcohol, tobacco, hot food, food sold for on-mailto:FINI@fns.usda.gov http://www.fns.usda.gov/ask-the-expert premises consumption, and nonfood items (such as soap, paper, medicine, etc.). Products that carry a “Supplement Facts” label are classified by the Food and Drug Administration (FDA) as supplements and are, therefore, not considered SNAP eligible food.

Seeds and plants are eligible for purchase with SNAP benefits only when the product of their cultivation is intended for consumption by the purchasing SNAP household. Seeds and plants may not be purchased with SNAP benefits if they are intended for cultivation for ornamental purposes. In addition, the seeds and plants of toxic or inedible flora, such as azaleas or hydrangeas, are not considered eligible for purchase with SNAP benefits as the products of their cultivation are not fit for human consumption. Finally, cut floral bouquets, ornamental gourds, or other plant products sold for decorative purposes are not SNAP eligible, as these products are not sold for human consumption.

FINI Qualifying Fruits and Vegetables

A FINI grant project furthermore must incentivize the purchase of FINI qualifying fruits and vegetables. Such FINI qualifying fruits or vegetables would be considered SNAP staple foods in the fruit or vegetable staple food category. FINI grantees may choose to only incentivize a narrower subset of the FINI qualifying fruit or vegetable category (e.g., incentivize only fresh, local fruit). For example, some grantees have chosen to incentivize the fruits and vegetables that appear on their States’ Special Supplemental Nutrition Assistance Program for Women, Infants, and Children (WIC) Approved Products List (APL). This is an acceptable subset of fruits and vegetables to incentivize under FINI. It should be noted, however, that some States’ WIC APLs may exclude products that would otherwise be considered FINI qualifying fruits and vegetables

(e.g., white potatoes). Some FINI grantees have, nevertheless, opted to incentivize only fruits and vegetables that appear on their States’ WIC APLs as this simplifies implementation with their retailer partner outlets. FINI grantees that seek to incentivize only a narrower subset of the

FINI qualifying fruit or vegetable category must justify this in their proposal. FINI grantees may not incentivize only specific brand names or product lines of qualifying fruits or vegetables, nor may FINI grantees incentivize only a specific subset of FINI qualifying fruits or vegetables that are not considered by FNS and NIFA to advance the spirit or purpose of the

FINI grant program.

The definition of FINI qualifying fruits and vegetables includes any variety of fresh, canned, dried, or frozen whole or cut fruits and vegetables without added sugars, fats, or oils, and salt (i.e.

sodium). Examples of FINI qualifying fruits and vegetables include, but are not limited to, the following: frozen spinach, fresh apples, sundried tomatoes, 100% orange juice, and canned artichoke hearts (so long as these products contain no added sugars, fats, oils, or salts). In response to feedback received from FINI grantees, SNAP eligible seeds and plants intended for cultivation and consumption (e.g., tomato seeds or tomato plants) and fresh herbs (e.g., fresh basil, thyme, or mint) are also now considered FINI qualifying fruits and vegetables.

Examples of fruit-based and vegetable-based products that do not qualify for the purposes of

FINI include accessory food items such as powdered, dried, or extracted herbs and spices, fruit punch (less than 100% fruit juice), honey, ketchup and other condiments, as well as multiple ingredient food items that are not primarily composed of qualifying fruits and vegetables (such as pastries containing fruit, frozen pizza pies, or burritos). If you are uncertain as to whether or not a fruit or vegetable product qualifies for the purposes of FINI, please check the ingredients panel for the presence of the four aforementioned additives. If sugars, fats, oils, or salts are present as a listed ingredient on the product’s nutrition label, then that product is generally not considered a

FINI qualifying fruit or vegetable.

An allowable FINI grant project must have a trigger and incentive. This means that all approved grant projects must require eligible participants to perform an action and then provide those participants with an incentive. Usually the trigger event is the purchase of a FINI qualifying fruit or vegetable, but there are four allowable models as follows:

1. Participating SNAP households receive incentives ONLY through the purchase of a FINI qualifying fruit or vegetable and incentives are redeemable for the purchase of any SNAP eligible food product;

2. Participating SNAP households receive incentives through the purchase of any SNAP eligible food product and incentives are redeemable ONLY for the purchase of a FINI qualifying fruit or vegetable;

3. Participating SNAP households receive incentives ONLY through the purchase of a FINI qualifying fruit or vegetable and incentives are redeemable ONLY for the purchase of a FINI qualifying fruit or vegetable; and

4. No purchase is required for participating SNAP households to receive incentives and incentives are redeemable ONLY for the purchase of a FINI qualifying fruit or vegetable.

If no purchase is required to receive a FINI benefit or if the required purchase is paid for with a non-SNAP form of tender (e.g., cash), then an Electronic Benefit Transfer (EBT) card balance check operation must be performed to verify the participant’s status as a SNAP household.

Additionally, if no purchase is required then a separate trigger must be required before participants receive incentives. Usually no purchase required projects use attendance of nutrition or cooking education classes as the trigger. Additionally, “no purchase required” incentive triggers will be subject to providing additional justification prior to approval, and would need to explain clearly how it intends to ensure that only eligible SNAP households will be able to receive incentives.

Grant Selection Priority

Priority will be given to grant proposals with incentives that are most likely to directly and efficiently increase the purchase and consumption of FINI qualifying fruits and vegetables by

SNAP clients. Any grant proposal that includes non-financial incentives will be subject to providing additional justification prior to approval, and would need to explain clearly how it contributes to the overall objectives of this program. In general, USDA expects non-financial incentives, if used, to be supplemental to a strong financial-based incentive. Additionally, USDA encourages FINI grantees to structure their grant projects so that project participants are required to utilize their EBT cards to spend SNAP benefits and make qualifying purchases in order to become eligible to receive the incentives offered. Such a project model improves the precision of

USDA efforts to evaluate the success of FINI grant projects and has the added benefit of verifying the SNAP household status of participants as well. While “no purchase required” FINI grant project models are allowable, it is incumbent upon FINI grantees and their retailer partner outlets to verify that all FINI grant project participants are eligible SNAP households. Any grant proposal that includes “no purchase required” incentive triggers will be subject to providing additional justification prior to approval, and would need to explain clearly how it intends to ensure that only eligible SNAP households will be able to receive incentives.

Sales Tax

Per Section 4405(a)(3) of the Food, Conservation, and Energy Act of 2008 (the 2008 Farm Bill), as amended by Section 4208 of the Agricultural Act of 2014 (the 2014 Farm Bill), no State or local sales tax shall be collected on any purchase of food made using FINI grant project incentives.

Geographic location and ownership of SNAP authorized firms

Long-standing Agency policy requires a SNAP authorization (and the unique seven digit FNS number that serves as a retail food store’s numerical identifier) to be restricted to a single geographical location (i.e., that of the retail food store). This means that it is not allowable for a grocery store, for example, to use its SNAP authorization to accept and redeem SNAP benefits at any location other than its listed address as reported to FNS (e.g., supermarket chains are required to have individual SNAP authorization for each store location). Likewise, a farmers market (FM) may not use its SNAP authorization (and FNS number) at more than one geographic location (e.g., doing business at one location on Mondays and at a second location on

Thursdays requires two licenses). If an FM seeks to operate at more than one location continuously, then a firm must be authorized at each of those locations.

Furthermore, whenever a SNAP authorized firm relocates to a new physical address it must notify FNS of the new address immediately. Likewise, if an FM relocates (e.g., from its winter market location to its summer market location), then it must notify FNS of the new address immediately.

Finally, whenever a SNAP authorized firm changes its ownership structure (e.g., the firm is sold) it must apply for a new SNAP authorization and FNS number.

FNS understands that retailer information (ownership status and geographical location) for FMs changes more frequently than for typical SNAP authorized retailers (i.e., brick-and-mortar retailer food stores). As with any retail food store, FNS requires an FM to apply for a new SNAP authorization and FNS number whenever that FM’s ownership structure changes.

Equal Treatment

Because the statutory language of the 2014 Farm Bill requires FINI grantees to provide incentives specifically to SNAP clients, the equal treatment provision of 7 CFR §278.2(b) and 7

CFR §274.7(f) does not apply to FINI grantees for the purpose of providing incentives under the

FINI grant.

Refunds

FMs with one central EBT point-of-sale (POS) terminal often utilize scrip or tokens for the redemption of SNAP benefits. Under such a system SNAP households swipe their EBT cards at the FM’s central EBT POS terminal for a declared amount and receive specially marked tokens which can only be spent on eligible food at the FM’s stalls and booths. If, after shopping, SNAP households still possess an excess of these tokens they may return to the FM’s central EBT POS terminal for a refund on such tokens.

Refunds, both for such tokens and for any product purchased with SNAP benefits, can never be made in cash. Providing cash refunds for SNAP scrip or items purchased with SNAP benefits is considered trafficking SNAP benefits. This is a serious violation of SNAP rules and can have lasting legal ramifications for any retailer engaging in such practices. Refunds of SNAP scrip and purchases made with SNAP benefits must be returned to the SNAP household’s EBT card through a refund transaction on an EBT POS device.

Incentives received through a FINI grant project are intended to increase the consumption of qualifying fruits and vegetables and must be spent accordingly. The returning or refunding of

FINI benefits is not consistent with the intention of the FINI grant program. While spoiled or undesired food products purchased with FINI benefits may be exchanged for equivalent food products at the retailer’s discretion, FINI benefits may neither be refunded with cash, nor refunded onto a SNAP household’s EBT card through a refund transaction on an EBT POS device. Therefore, if an FM using a scrip system utilizes a distinct FINI benefit token (i.e., valid only for FINI qualifying fruits and vegetables), such tokens may only be redeemed as intended at the FM; they may not be refunded or exchanged.

SNAP Household Data Confidentiality

Personally Identifying Information (PII) of SNAP households is protected under Section

11(e)(8)(A)(i) of the Food and Nutrition Act of 2008 (the Act) and SNAP regulations at 7 CFR

§272.1(c)(1). Local and State SNAP Agencies may not disclose SNAP household data to FINI grantees. If FINI grantees gather SNAP household data from grant project participants as a part of their grant project, then that grantee is responsible for using that data appropriately and safeguarding it from disclosure. It is prohibited to maintain a database of SNAP household data for any purpose other than to meet the necessary requirements of conducting your FINI grant project. Information regarding SNAP participants may never be sold or in any way used for marketing or commercial purposes. Any SNAP household data collected as a function of your

FINI grant project must be safeguarded against disclosure for the duration of the project and must be destroyed at the conclusion of the project. Under no circumstances should the following types of information be gathered or retained for this purpose: full EBT card numbers, images

(photographed, photocopied, scanned, etc.) of EBT cards, EBT PINs, and Social Security

Numbers (SSNs).

SNAP Retailer Data Confidentiality

Under 7 CFR §278.1(q) certain forms of SNAP retailer information are prohibited from disclosure. Local and State SNAP Agencies may not disclose such retailer data to FINI grantees.

The names and addresses of SNAP authorized retailers are available to the public and can be obtained via the SNAP retailer locator tool: http://www.fns.usda.gov/snap/retailerlocator.

However, the FNS number for individual firms is not public information and is subject to restrictions in SNAP regulations at 7 CFR §278.1(q); therefore, it must be obtained directly from http://www.fns.usda.gov/snap/retailerlocator the retailer. Likewise, SNAP redemption or transaction data at the individual store level is considered protected data and must be obtained directly from the retailer. FINI grantees should work in close concert with their retailer partner outlets in order to obtain any such required information. Both the FNS number and individual retailer transaction/redemption data, while necessary for data collection and evaluation purposes, are protected and shall not be published in a public report. SNAP retailer transactions/redemptions should only be reported in aggregate.

Changes in FINI Grantee Primary Point of Contact

Per Part VIII Section 2 titled “Changes in Budget or Project Plans”, FINI grantees are required to inform the USDA regarding any changes in their FINI grant project’s primary point(s) of contact.

At the very least this means that FINI grantees must inform FNS and NIFA points of contact of any change to their Project Directors (PDs) no more than 10 calendar days after the change occurs. FINI grantees are also strongly encouraged to inform NIFA and FNS points of contact of changes to other primary grantee points of contact in a timely fashion.

Current NIFA and FNS points of contact are Daniel Cline, Eric Williams, and Jane Clary; updates to these USDA points of contact will be provided to all grantees in a timely fashion as necessary.

Allowable Participation of Retailer Partner Outlets in your FINI Grant Project

In order to conduct a FINI grant project it is necessary to partner with retail food stores. Entities that respond to this RFA document are required to submit a list of retailer partner outlets that are expected or planned to participate in their FINI grant project, if awarded, per Part IV Section B titled “Content and Form of Application Submission” Subsection (g) titled “Specific Program and

Incentive Information” of this RFA document. The terms “store” and “firm” are used interchangeably to refer to FINI retailer partner outlets and this can include a broad range of retail food purveyors from traditional brick-and-mortar grocery stores to farmers’ markets.

No store may disburse (e.g., print, distribute, make available, or otherwise give) or redeem (e.g., accept, honor, or otherwise receive) FINI incentives, regardless of the format of those incentives

(e.g., tokens, scrip, gift cards), unless the store is SNAP authorized by FNS. FINI grantees and applicants may provide NIFA and FNS with a list of future participant stores before such stores have completed the SNAP authorization process, but unauthorized stores may not materially participate in FINI grant projects until and unless they are SNAP authorized.

You can read more about the SNAP authorization process and apply for authorization online here https://www.fns.usda.gov/snap/retailer-apply. SNAP regulations allow 45 days from receipt of a completed application for a decision to be made. FNS makes every effort to expedite authorization decisions and on average these decisions are made in fewer than 20 days. If a store has questions they can be directed to the SNAP Retailer Service Center (RSC) at 1-877-823-4269.

Before any new store is added to a FINI grant project in an active status, the FINI grantee must take the following necessary steps to report that store’s participation:

1. Contact primary NIFA and FNS points of contact providing the store name, store address

(including street, city, State, and 9-digit ZIP code), and FNS number (a 7-digit unique numerical identifier assigned to a store that applies for SNAP authorization) of the stores that the grantee would like to add to their grant project (current NIFA and FINI points of contact are Daniel Cline (daniel.cline@fns.usda.gov), Eric Williams mailto:daniel.cline@fns.usda.gov mailto:eric.williams@fns.usda.gov mailto:jclary@nifa.usda.gov https://www.fns.usda.gov/snap/retailer-apply mailto:daniel.cline@fns.usda.gov

(eric.williams@fns.usda.gov), and Jane Clary (jclary@nifa.usda.gov); updates to these points of contact will be provided to all grantees in a timely fashion as necessary).

2. Ensure that the store applies for and receives SNAP authorization. FINI grantees may require that a new store provides the grantee with a scanned version of the store’s FNS-issued SNAP authorization permit document in order to verify the store’s status.

3. Ensure that the store has signed and authorized a Data Use Agreement (DUA) or

Memorandum of Understanding (MOU) that guarantees that the store will share necessary evaluation-related data with the grantee and FNS. FNS may require the submission of applicable DUAs or MOUs. This requirement is further detailed in Part IV Section B titled

“Content and Form of Application Submission” Subsection (f) titled “Evaluation” of this

RFA document.

4. Obtain NIFA and FNS approval.

No retailer partner outlet may benefit in any way from a FINI grant unless all of these conditions have been met in advance.

Once a FINI grantee has taken all of these steps and once NIFA and FINI points of contact have approved the addition of new stores, then the new store may be added to a FINI grant project and may begin disbursing and redeeming incentives.

Grantee Noncompliance with Program Policy

Grantees are expected to comply with all of the policies and requirements laid out in this RFA document as well as any policies or requirements further clarified in Q&As, memoranda, or other relevant USDA documents. If any grantee fails to comply with FINI policies or requirements, then the USDA will notify that grantee of the issue and establish a timeline for corrective action.

If the grantee fails to take required corrective action within the established timeline, then the

USDA will immediately suspend that grantee’s access to grant funds. The general timeline for such corrective action is 30 calendar days, although the timeline may be extended or shortened depending on the nature and extent of the issue at hand at the discretion of the USDA.

In cases in which grant funds, have been spent on unallowable expenses or otherwise misallocated, the USDA will require that the grantee repay the full amount of grant funds that have been misallocated.

If a grantee engages in a pattern of noncompliant actions, then USDA will consider rescission of the FINI grant award in its entirety. Additionally, a history of noncompliance with FINI or any other USDA grant policies and requirements will be considered during the grant application evaluation process as detailed in Section B. Evaluation.

mailto:eric.williams@fns.usda.gov mailto:jclary@nifa.usda.gov

PART II—AWARD INFORMATION

A. Available Funding

The anticipated amount available for NIFA support of this program in FY 2018 is approximately

$21 million. The funds will be awarded through a grant. There is no commitment by USDA to fund any particular application or to make a specific number of awards. This RFA is being released prior to the passage of an appropriations act for FY 2018. Enactment of additional continuing resolutions or an appropriations act may affect the availability or level of funding for this program.

Awards issued as a result of this RFA will have designated the Automated Standard Applications for Payment (ASAP) system, operated by the Department of Treasury’s Bureau of the Fiscal

Service, as the payment system for funds. For more information see https://www.fiscal.treasury.gov/fsservices/gov/pmt/asap/asap_home.htm.

B. Types of Applications

In FY 2018, you may submit applications to the FINI Program:

New application: This is a project application that has not been previously submitted to the

FINI Program. We will review all new applications competitively using the selection process and evaluation criteria described in Part V—Application Review Requirements.

Resubmitted application: This is an application that had previously been submitted to the FINI

Program but not funded. Project Directors (PDs) must respond to the previous review panel summary (see Response to Previous Review, part IV). Resubmitted applications must be received by the relevant due dates, will be evaluated in competition with other pending applications in appropriate area to which they are assigned, and will be reviewed according to the same evaluation criteria as new applications.

C. Project Types

Applications will be accepted for three (3) project types: (1) FINI Pilot Projects; (2) FINI

Projects; and (3) FINI Large-Scale Projects. The FINI grant program will only accept one application across the three project types per project team under this RFA.

All FPP awards will be made on the merit of the proposed project, with budgets considered only after the merits of the project have been determined. NIFA reserves the right to negotiate final budgets with successful applicants.

1. FINI Pilot Projects (FPP)

FPPs are aimed at new entrants seeking funding for a project in the early stages of incentive program development. Applicants should request a budget commensurate with the proposed project. No single FINI Pilot project (FPP) award shall exceed $100,000 for the total project period. The maximum FINI Pilot Project award period is one year. Applications that exceed the budgetary guidelines will not be reviewed.

https://www.fiscal.treasury.gov/fsservices/gov/pmt/asap/asap_home.htm.

2. FINI Projects (FP)

FINI Projects are aimed at mid-sized groups developing incentive programs at the local or State level. Applicants should request a budget and project period commensurate with the proposed project. FP proposals should include a budget of no more than $500,000 for a project period not to exceed four years. Proposal budgets may be less than $500,000 and/or a proposed project period of less than four years. Applications that exceed budgetary guidelines will not be reviewed.

3. FINI Large Scale Projects (FLSP)

FLSPs are aimed at groups developing multi-county, state-wide, and regional incentive programs with the largest target audience of all FINI projects. Applicants should request a budget and project period commensurate with the proposed project. FLSP proposals should include a budget of $500,000 or more for a project period not to exceed four years. Applicants may submit a proposed project period not to exceed four years.

PART III—ELIGIBILITY INFORMATION

A. Eligible Applicants

Applications may only be submitted by government agencies and non-profit organizations.

Award recipients may subcontract to organizations not eligible to apply provided such organizations are necessary for the conduct of the project. Failure to meet an eligibility criterion by the time of application deadline may result in the application being excluded from consideration or, even though an application may be reviewed, will preclude NIFA from making an award.

1. FPP, FP, & FLSP Eligible Entity

Eligibility to receive this grant is limited to government agencies and non-profit organizations

(FCEA, § 4405(b)(2)(A)). Eligible government agencies and non-profit organizations may include: an emergency feeding organization; an agricultural cooperative; a producer network or association; a community health organization; a public benefit corporation; an economic development corporation; a farmers’ market; a community-supported agriculture program; a buying club; a SNAP-authorized retailer; and a State, local, or tribal agency. All applicants must demonstrate in their application that they are a government agency or non-profit organization.

To be eligible to receive a FPP, FP, or FLSP grant, applicants must propose projects that: (1) would increase the purchase of fruits and vegetables by low-income consumers participating in

SNAP by providing incentives at the point of purchase; (2) operate through authorized SNAP retailers, and comply with all relevant SNAP regulations and operating requirements; (3) agree to participate in the FINI comprehensive program evaluation; (4) ensure that the same terms and conditions apply to purchases made by individuals with SNAP benefits and with incentives under the FINI grant program as apply to purchases made by individuals who are not members of households receiving benefits as provided in 7 C.F.R. 278.2(b); and (5) include effective and efficient technologies for benefit redemption systems that may be replicated in other States and communities.

Note: Because the statutory language of the 2014 Farm Bill requires FINI grantees to provide incentives specifically to SNAP clients, the equal treatment provision of 7 CFR 278.2(b) does not apply to FINI grantees for the purpose of providing incentives under the FINI grant.

In addition, applicants must meet the following requirements to receive a FPP, FP, or FLSP grant: (1) have experience in: (i) efforts to reduce food insecurity in the community, including food distribution, improving access to services, or coordinating services and programs; or (ii) experience with the SNAP program; (2) demonstrate competency to implement a project, provide fiscal accountability, collect data, and prepare reports and other necessary documentation; and (3) possess a demonstrated willingness to share information with researchers, evaluators (including the independent evaluator for the program), practitioners, and other interested parties, including a plan for dissemination of results to stakeholders.

Projects are…