hhs-2025-acf-ocs-ee-0118_rev2.pdf

Office of Community Services

Notice of Funding Opportunity

Application due September 8, 2025

Community Economic Development Projects Opportunity number: HHS-2025-ACF-OCS-EE-0118

Contents

Step 1: Review the Opportunity 4

Basic information 5

Eligibility 7

Program description 9

Step 2: Get Ready to Apply 19

Get registered 20

Find the application package 20

Learn more 21

Pre-application presentation 21

Step 3: Prepare Your Application 22

Application contents and format 23

Step 4: Learn About Review and Award 43

Application review 44

Award notices 58

Step 5: Submit Your Application 59

Application submission and deadlines 60

Application checklist 62

Step 6: Learn What Happens After Award 64

Post-award requirements and administration 65

Contacts and Support 67

Before you begin 3

Modifications 70

Contents 2

Before you begin If you believe you are a good candidate for this funding opportunity, secure your SAM.gov and Grants.gov registrations now. If you are already registered, make sure your registrations are active and up-to-date.

SAM.gov registration (this can take several weeks)

You must have an active account with SAM.gov. This includes having a Unique Entity Identifier (UEI).

See Step 2: Get Ready to Apply

Grants.gov registration (this can take several days)

You must have an active Grants.gov registration. Doing so requires a Login.gov registration as well.

See Step 2: Get Ready to Apply

Apply by the application due date

Applications are due by 11:59 p.m. Eastern Time on September 8, 2025.

To help you find what you need, this NOFO uses internal links. In Adobe Reader, you can go back to where you were by pressing Alt + Left Arrow (Windows) or Command + Left Arrow (Mac) on your keyboard.

Before you begin 3 https://sam.gov/ https://grants.gov/

1. Review 2. Get Ready 3. Prepare 4. Learn 5. Submit 6. Award Contacts

Step 1:

Review the Opportunity

In this step

Basic information 5

Eligibility 7

Program description 9

Basic information Administration for Children and Families (ACF)

Office of Community Services

Division of Community Discretionary and Demonstration Programs

Investing in community development corporations to create and expand business and employment opportunities in communities facing persistent poverty and high unemployment.

Have questions?

See Contacts and Support.

Key facts

Opportunity name:

Community Economic Development Projects

Opportunity number:

HHS-2025-ACF-OCS-

EE-0118

Announcement type:

Modified

Federal assistance listing:

93.570

Statutory authority number:

Section 680(a)(2) of the Community Services Block Grant (CSBG) Act, as amended, 42 U.S.C.

9921(a)(2)

Key dates

Application submission deadline:

September 8, 2025

Expected project start date:

September 30, 2025

See other submissions for other time frames that may apply to this Notice of Funding Opportunity

(NOFO).

Summary The Community Economic Development (CED) program is a federal grant program that expands employment for individuals with low income in communities facing persistent poverty and high unemployment. The program invests in community development corporations (CDCs) that create and expand businesses and job opportunities.

Jobs created with CED funds provide employment opportunities with supports such as paid leave, health care benefits, fringe benefits, and opportunities for career growth. In addition, employees are connected to critical support services to remove barriers to long-term employment and economic mobility. Seventy-five percent of all jobs created with CED funds are filled by individuals with low income.

CED provides funding to private, nonprofit CDCs, including faith-based organizations and tribal and Alaska Native organizations. For every $1 of CED funding that is used on a project, more than $6 from other sources is invested back into low-income communities.

The CED program is based on the following three pillars:

• Creating high-quality, permanent, full-time jobs for individuals with low incomes.

• Addressing barriers to employment by providing wraparound services that focus on the needs of individuals with low incomes who are hired into jobs created through CED.

• Promoting community revitalization by infusing funding into local communities to economic development.

Step 1: Review the Opportunity 5

CED projects must:

• Be ready to implement at the time of award.

• Create a minimum number of jobs that benefit individuals with low incomes and result in increased self-sufficiency.

• Create or expand businesses that promote economic revitalization in low-income communities.

• Attract additional public and private funds to increase investment and quality of life in low-income communities.

• Promote increased access to quality jobs in geographically underserved communities.

CED funds may be used for start-up or expansion activities of participating businesses, if such expenses comply with the cost principles set forth at 45 CFR part 75, subpart E (or, after October 1, 2025, 2 CFR part 200).

Funding details Type: Grant

Expected total program funding: $15.2 million

Total expected awards: 15

Minimum award amount (award floor): $100,000

Maximum award amount (award ceiling): $800,000

This is full funding. We plan to fund a 3-year project period with one 3-year budget period for projects not involving construction. We plan to fund a 4-year project period with one 4-year budget period for projects involving construction.

Awards made under this funding opportunity are subject to federal funds availability.

Step 1: Review the Opportunity 6

Eligibility Eligible applicants Qualified CDCs are eligible to apply. In accordance with section 680(a)(2) of the CSBG Act, 42 U.S.C. 9921(a)(2), to be a qualified CDC, an organization must meet the following three conditions:

• The organization must be a private, nonprofit organization with 501(c)(3) status.

• The organization’s articles of incorporation or bylaws must demonstrate that the CDC has a principal purpose of planning, developing, or managing low-income housing or community development projects.

• The organization’s board of directors must have representation from these three groups: community residents, business leaders, and civic leaders (that is, a tripartite board).

See the attachments section under additional eligibility documentation for more information on documentation required to demonstrate eligibility.

Individuals, including sole proprietorships, and foreign entities are not eligible.

Faith-based and community organizations that meet the eligibility requirements are eligible for awards under this funding opportunity.

Disqualification factors We will review your application to make sure it meets these requirements.

We won’t consider an application that:

• Requests funding above the award ceiling.

• Is submitted after the deadline.

• Is from an individual, including a sole proprietorship, or a foreign entity.

• Is received in paper format that didn’t have a previously approved exemption from ACF.

Application limits If you submit the same application more than once under this NOFO, we will only acknowledge the last on-time submission.

Step 1: Review the Opportunity 7

Cost sharing This program has no cost-sharing requirement. If you choose to include cost-sharing funds, we won’t consider it during review. However, we will hold you accountable for any funds you add, including through reporting. If you don’t provide your promised amount, we may have to decrease your award amount or use other enforcement actions.

Step 1: Review the Opportunity 8

Program description Statutory authority Section 680(a)(2) of the CSBG Act, as amended, 42 U.S.C. 9921(a)(2).

The CED authority for construction and renovation is through annual appropriations, and the most recent language is in the Further Consolidated Appropriations Act, 2024 (Public Law 118-47).

Overview The CED program provides funding to CDCs for projects that address the economic needs of individuals with low income and promote community revitalization by creating quality jobs and businesses and providing wraparound services.

The three pillars of the CED program The CED program is based on three key pillars.

Pillar 1: Create new high-quality, permanent, full-time jobs CED creates high-quality, permanent, full-time jobs for individuals with low incomes. It does this by funding business development and expansion efforts (for example, entrepreneurship and social enterprise).

• Jobs created with CED funding help people become economically self-sufficient by providing employment opportunities with supports such as health care benefits, retirement benefits, career growth opportunities, flexible and predictable work hours, and opportunities to be meaningfully integrated into businesses.

• A minimum of 75 percent of the newly created jobs must be filled by individuals with low incomes. Of those, a majority must have a need for the wraparound services provided by the project (see pillar 2).

• While the focus of the program is on job creation for individuals with low incomes, some businesses will need to hire high-level managers or other experts with unique experiences who may be more difficult to identify and recruit. For this reason, ACF only requires that 75 percent of the newly created jobs be filled by individuals with low incomes.

Step 1: Review the Opportunity 9

• Full-time position—A nonseasonal position requiring at least 30 hours of work per week. Several part-time positions that aggregate to a full-time equivalent are not considered a full-time position.

• Low income—A household income level of 200 percent of the official poverty guidelines or less, as found in the most recent revision of the Health and Human Services (HHS) Poverty Guidelines.

• Self-sufficiency—A status of an individual or family where, through employment, they no longer need public assistance because they have attained the financial capacity to meet all basic needs.

Pillar 2: Address barriers to employment through wraparound services CED addresses barriers to employment by providing wraparound services that focus on the needs of individuals with low incomes who are hired into jobs created through CED.

Services can include childcare, transportation, substance use disorder treatment, English language education, and financial literacy assistance.

• Wraparound services—Coordinated, individualized, and community-based supports and services that are designed to help individuals achieve their goals and improve their overall well-being.

Pillar 3: Promote community revitalization by investing in local communities CED promotes community revitalization by infusing funding into local communities to support economic development.

• The CED program funds organizations that know their communities and the people who live there. They can efficiently and effectively create new community economic development projects that are responsive to the uniqueness of the community and increase access to quality jobs for individuals with low incomes.

• Community buy-in is a critical aspect of the CED program. It helps to ensure continued community support for the project, which will lead to sustained success of the project beyond the CED project period.

• In order to secure community buy-in and ensure that CDCs are effectively addressing the needs of their communities, the board of directors for the governing organization must include representation from the community. See eligible applicants.

1. Review 2. Get Ready 3. Prepare 4. Learn 5. Submit 6. Award Contacts

Step 1: Review the Opportunity 10 https://aspe.hhs.gov/poverty-guidelines https://aspe.hhs.gov/poverty-guidelines

Using CED funds to make an impact CED funds are flexible and can be used in many ways to achieve program objectives.

CED projects must:

• Be ready to implement at the time of award.

• Create jobs that result in increased self-sufficiency for individuals and families with low incomes.

• Create or expand businesses that promote economic revitalization in low-income communities.

• Attract additional public and private funds to increase investment and quality of life in low-income communities.

• Promote access to quality jobs in underserved communities.

To ensure CED-funded projects make an impact in the communities they serve, CED projects must create a minimum number of jobs for individuals with low incomes, based on total award funding and project type.

Projects that involve construction Projects that involve construction are not expected to create jobs until construction is complete. Projects that do not involve construction can begin job creation earlier within the project period. Therefore, projects involving construction are expected to create fewer jobs than those that do not involve construction.

Projects involving construction activities must create a minimum number of jobs based on the following formula:

[Total amount of federal CED funds awarded] divided by $32,000 = [Minimum number of jobs to be created]

For example, if a recipient is awarded $800,000 in federal CED funds, it must use that money to conduct activities that will create at least 25 jobs ($800,000 ÷ $32,000 = 25).

This program only counts full-time jobs. For example, a result of 24.9 means a minimum of 24 jobs must be created.

Projects that do not involve construction Projects that do not involve construction activities must create a minimum number of jobs based on the following formula:

[Total amount of federal CED funds awarded] divided by $27,000 = [Minimum number of jobs to be created].

For example, if a recipient implementing a non-construction project is awarded $800,000 in federal CED funds, it must use that money to conduct activities that will

Step 1: Review the Opportunity 11 create at least 29 jobs ($800,000 ÷ $27,000 = 29). This program only counts full-time jobs. For example, a result of 28.9 means a minimum of 28 jobs must be created.

Priority is not given to applications that propose creating more jobs than the required minimum.

Eligible activities CED funds may be used for the start-up or expansion activities of participating businesses, as consistent with 45 CFR part 75 (or, after October 1, 2025, 2 CFR part 200).

This includes:

• Start-up capital for operating expenses, such as salaries, facilities, and equipment that will be replaced by projected earnings.

• Loans to identified viable, participating businesses.

• Equity or stock investment in identified viable, participating businesses.

• Support services to employees of the participating businesses. You can provide support services either directly or in partnership with service providers.

• Construction. For more information, please see Construction projects.

• Other types of business development activities that lead to measurable job creation.

• Travel for key project staff to attend ACF-sponsored workshops, conferences, and recipient orientations.

Step 1: Review the Opportunity 12

• Participating business—A business that has been identified as a CED project participant and has a signed third-party agreement with the CED applicant to create new jobs that meet the program requirements.

• Equity investment—The provision of capital to an identified for-profit participating business entity for a specified purpose in return for a share of ownership, evidenced by a formal equity investment agreement. This may involve the issuance of stock, as in an equity stock investment. An equity investment may be either in a subsidiary for-profit corporation of the applicant or in an unaffiliated business.

• Stock—A share of ownership in a for-profit company. Stocks are sold to investors by a for-profit corporation to raise capital for the start-up and/or expansion of the business. Stock purchases by the recipient are equity investments. Recipients may make such investments in affiliated and nonaffiliated businesses. Stock is considered intangible property under the Uniform Administrative Requirements of 45 CFR part 75.

• Loan—Money provided to finance an eligible participating business borrower, evidenced by a promissory note and loan agreement for a specified purpose to be repaid with a stated rate of interest and within a specified period.

Loans made to eligible participating businesses must be at or below market rate (or what commercial lenders would offer). This includes a distinct loan fund established exclusively for CED projects as a resource for loans, to finance eligible business development and operational activities that, when principal is repaid, are used to make new loans that support a similar purpose.

In all instances, the first borrower must be identified along with the standards used for selection. Interest accrued on CED funds must be used to continue or expand the activities of the approved project. Repayment of all loans funded with CED funds must begin during the course of the funded project period, and a balloon payment is not allowed. No portion of a loan is forgivable. Loans are considered intangible property under the Uniform Administrative Requirements of 45 CFR part 75.

CED projects may use multiple strategies as long as they result in the creation of full-time positions.

Training and placing individuals in positions existing prior to the start of the project, even positions guaranteed to individuals with low incomes through a formal agreement with an employer, is not considered job creation.

Social enterprise development that helps start-up businesses flourish by providing support, resources, and business services and advice is allowable if you demonstrate that it will help those businesses create new jobs that meet the program requirements.

Step 1: Review the Opportunity 13

Project types: non-construction and construction CED-funded projects can be considered non-construction or construction projects.

Both types of projects must be ready to be implemented at the time of the grant award and completed during the assigned project period.

The grant period for non-construction projects is 3 years, and the grant period for construction projects is 4 years. You must clearly specify in the application whether you are applying for a 3-year non-construction project or a 4-year construction project.

All participating business expansion or creation and job creation must be completed and CED funds expended within the grant period. Changes in direction in the final year of a project are discouraged.

Non-construction projects Projects are considered non-construction projects if they involve limited alteration or renovation, costing less than $250,000, to support participating business creation or expansion (or both) and job creation.

Non-construction projects typically involve a loan or equity investment in participating businesses.

Real property vs. intangible property

• When you propose to loan money or have an equity investment in a third-party participating business, you own the note on the intangible property, not the real property itself.

• The third-party participating business is the property owner of record.

This means that the federal interest is in the debt instrument as an intangible property and not the property.

The intangible property is subject to the 12-year rule set forth in the Act annual appropriations legislation.

The rule states that intangible assets in the form of loans, equity investments, and other debt instruments become the sole property of the grantee after a period of not more than 12 years after the end of the grant period, as long as such intangible assets and program income are used by grantees for any eligible purpose consistent with section 680(a)(2)(A) of the CSBG Act, 42 U.S.C. 9921(a)(2)(A).

Step 1: Review the Opportunity 14

• Debt instruments—Any financial documents that enable the issuing party to raise funds by promising to repay a lender in accordance with the terms of a contract.

Types of debt instruments include notes, bonds, certificates, mortgages, leases, or other agreements between a lender and a borrower.

• Intangible property—Property having no physical existence, such as trademarks, copyrights, patents and patent applications; loans, notes, and other debt instruments; and lease agreements, stock, and other instruments of property ownership.

Construction projects Projects are considered construction projects if they require construction or renovation to real property before the project can create jobs. For more information, see the ACF Property Glossary page and related real property pages under the ACF Property Guidance. Construction projects typically include commercial real estate for lease or use by small- and large-scale business operations.

The CED program permits facility construction, as needed, to support participating business creation, expansion, and job creation.

Any project with construction activities that must be completed before jobs can be created, whether the construction is funded by federal funds or owned by the recipient or a participating business, will be considered a construction project and granted a 48-month project period.

However, we encourage you to read the federal requirements related to “real property” carefully, as those apply only to projects where the recipient owns the property.

Learn about ACF property-related policy and guidance and how real property requirements apply to CED projects.

Short-term construction jobs to prepare businesses to start up or expand are not counted when determining the number of jobs created under the CED program, as they are designed to be temporary.

All environmental and historic preservation requirements must be fulfilled before award, or before drawdown of funds.

Supporting domestic energy resources Supporting domestic energy resources includes developing and using domestic energy sources to enhance energy security and economic growth.

Under this funding opportunity, the CED program will award bonus points for projects that demonstrate support for production, generation, distribution, or transportation across all forms of domestic energy sources.

1. Review 2. Get Ready 3. Prepare 4. Learn 5. Submit 6. Award Contacts

Step 1: Review the Opportunity 15 https://www.acf.hhs.gov/grants/manage-grant/glossary https://www.acf.hhs.gov/grants/manage-grant/glossary https://www.acf.hhs.gov/grants/manage-grant/property/real-property https://www.acf.hhs.gov/grants/manage-grant/property/real-property https://acf.gov/grants/manage-grant/property/real-property https://acf.gov/grants/manage-grant/property/real-property

Supporting geographically underserved communities Supporting geographically underserved communities includes CED projects that are located in and will create jobs and businesses in rural communities, persistent poverty counties, or states or trust territories without an active CED grant.

Under this funding opportunity, the CED program will award bonus points for projects that demonstrate support for geographically underserved communities.

Community Economic Development Projects program evaluation If ACF identifies additional resources to fund a federal study of the funded Community Economic Development Projects activities, then the recipient will be required to participate. The study would utilize an outside nonrecipient evaluation team and would focus on the processes, implementation, progress indicators, and quality improvement of funded activities.

NOTE: Consistent with the Paperwork Reduction Act (PRA) of 1995 (44 U.S.C.

3501-3521), under this NOFO, the Office of Community Services will not conduct or sponsor—and a person is not required to respond to—a collection of information covered by such Act, unless it displays a currently valid Office of Management and Budget (OMB) control number. Community Economic Development Projects will obtain OMB approval for a federal study of the funded grant activities, as appropriate.

Funding policies and limitations General policies

• We will only make awards if this program receives funding. If Congress appropriates funds for this purpose, we will move forward with the review and award process.

• If we receive more funding for this program, we will consider:

◦ Funding more applicants.

◦ Extending the period of performance.

◦ Awarding supplemental funding.

Step 1: Review the Opportunity 16

ACF does not allow funds awarded under this NOFO to support any costs related to diversity, equity, and inclusion (DEI) activities, including research in support of such initiatives, and any other initiatives that discriminate on the basis of race, color, religion, sex, national origin or another protected characteristic. This also includes any diversity, equity, inclusion, and accessibility (DEIA) initiatives, and any discriminatory equity ideology in violation of a Federal anti-discrimination law. The definition of “discriminatory equity ideology” is in Section 2(b) of Executive Order 14190 of January 29, 2025, which can be found here: 2025-02232.pdf.

For guidance on additional types of costs that we restrict or do not allow, see General Provisions for Selected Items of Cost (45 CFR part 75 or, starting on October 1, 2025, 2 CFR part 200).

Program-specific limitations and policies We do not allow the following costs under this NOFO:

• Reimbursing pre-award costs.

• Subawards or pass-throughs.

• Capitalizing loan loss reserve funds.

• Providing loans in which repayment begins after the end of the funded project period.

• Creating or expanding microenterprise business training and technical assistance centers.

• Providing as a primary activity job training, placement of individuals into existing positions, and technical assistance.

◦ Limited job training activities can only be supported if it is provided specifically for the new positions created.

◦ For example, funds can be used to train a cashier for a specific position that has been created with CED funds, but funds cannot be used to operate a general job training.

• Placing individuals in jobs that existed prior to the proposed CED project.

1. Review 2. Get Ready 3. Prepare 4. Learn 5. Submit 6. Award Contacts

Step 1: Review the Opportunity 17 https://www.govinfo.gov/content/pkg/FR-2025-02-03/pdf/2025-02232.pdf https://www.ecfr.gov/current/title-45/part-75/subject-group-ECFR5d90ba314caea08

Indirect costs Indirect costs are costs you charge across more than one project and cannot be easily separated by project.

To charge indirect costs you can select one of two methods:

Method 1—Approved rate. You currently have an indirect cost rate approved by your cognizant federal agency.

Method 2—De minimis rate. Per 2 CFR 200.414(f), if you do not have a current federal negotiated indirect cost rate (including a provisional rate), you may elect to charge a de minimis rate. If you choose this method, costs included in the indirect cost pool must not be charged as direct costs. This rate is 15 percent of modified total direct costs (MTDC). See 2 CFR 200.1 for the definition of MTDC. You can use this rate indefinitely.

Subawards CED grant funds may not be used for subawards or pass-throughs.

Salary rate limitation The salary rate limitation in the current appropriations act applies to this program. You may not use awarded funds to pay a salary at a higher rate than the rate for Executive Level II. For the Executive Level II salary, please see guidance from the Office of Personnel Management on executive and senior level employee pay.

The salary limitation reflects a person’s base salary (including any portion of the salary that is paid for with indirect costs). It does not include fringe benefits or any income the person is allowed to earn outside of the duties of the applicant organization. This salary limitation also applies to subawards, contracts, and subcontracts under an ACF grant or cooperative agreement.

Program income Program income is money earned as a result of your award-supported project activities. You must use any program income you generate from awarded funds for approved project-related activities. Find more about program income at 45 CFR 75.307 (or, starting October 1, 2025, 2 CFR 200.307).

1. Review 2. Get Ready 3. Prepare 4. Learn 5. Submit 6. Award Contacts

Step 1: Review the Opportunity 18 https://www.ecfr.gov/current/title-2/section-200.414 https://www.ecfr.gov/current/title-2/part-200#p-200.1(Modified%20Total%20Direct%20Cost%20(MTDC)) https://www.opm.gov/policy-data-oversight/pay-leave/salaries-wages/ https://www.opm.gov/policy-data-oversight/pay-leave/salaries-wages/ https://www.ecfr.gov/current/title-45/section-75.307 https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200#200.307

Step 2:

Get Ready to Apply

In this step

Get registered 20

Find the application package 20

Learn more 21

Pre-application presentation 21

Get registered SAM.gov You must have an active account with SAM.gov. This includes having a Unique Entity Identifier. SAM.gov registration can take several weeks. Begin that process today.

To register, go to SAM.gov Entity Registration and select Get Started. From the same page, you can also select the Entity Registration Checklist for the information you will need to register.

When you register or update your SAM.gov registration, you must agree to the financial assistance general certifications and representations. You must agree to those for financial assistance specifically, as opposed to contracts, because the two sets of agreements are different. You will have to maintain your registration throughout the life of any award.

Grants.gov You must also have an active account with Grants.gov. You can see step-by-step instructions at the Grants.gov Quick Start Guide for Applicants.

Need help? See Contacts and Support.

Find the application package The application package has all the forms you need to apply. You can find it online. Go to Grants Search at Grants.gov and search for opportunity number HHS-2025-ACF-OCS- EE-0118. Then select the Package tab.

After you select the opportunity, we recommend that you select the Subscribe button to get updates.

If you can’t use Grants.gov to download application materials, you may request them from the grants management contact.

If you are also unable to apply through Grants.gov, see the section on exemptions for paper submissions.

1. Review 2. Get Ready 3. Prepare 4. Learn 5. Submit 6. Award Contacts

Step 2: Get Ready to Apply 20 https://sam.gov/content/entity-registration https://www.hhs.gov/sites/default/files/financial-assistance-general-certification-representations.pdf https://www.hhs.gov/sites/default/files/financial-assistance-general-certification-representations.pdf https://grants.gov/applicants/applicant-registration http://www.grants.gov/quick-start-guide/applicants https://www.grants.gov/search-grants

Learn more Visit Applying for an ACF Grant Award on the ACF Grants page.

Pre-application presentation You can view a pre-application presentation, which will be posted to the CED website no later than 10 days after this NOFO’s publication and available to view until the closing of this NOFO.

The goal of the pre-application presentation is to:

• Outline the CED program’s purpose and strategies.

• Provide key dates for submitting an application for CED.

• Review key application criteria and requirements as outlined in the NOFO.

Viewing the prerecorded presentation is voluntary. Only the information provided in this NOFO will be presented. Opting not to view the presentation will not affect eligibility, application scoring, or the selection process.

If there is a discrepancy between the NOFO and the presentation or presentation materials, the NOFO takes precedence.

1. Review 2. Get Ready 3. Prepare 4. Learn 5. Submit 6. Award Contacts

Step 2: Get Ready to Apply 21 https://www.acf.hhs.gov/grants/how-apply-grant https://www.acf.hhs.gov/ocs/programs/ced https://www.acf.hhs.gov/ocs/programs/ced

Step 3:

Prepare Your Application

In this step

Application contents and format 23

Application contents and format Application components You will submit two files plus the standard forms in the application package.

See requirements for other submissions.

Your organization’s authorized official must certify your application.

File one To submit file one, you will use the Project Narrative Attachment form found in the Grants.gov application package for this NOFO.

This file includes:

• Table of contents.

• Project summary, one page.

• Project narrative.

• Line-item budget and budget narrative.

File two To submit file two, you will use the Other Attachments form found in the Grants.gov application package for this NOFO.

This file includes all attachments.

Standard forms The Grants.gov application package for this NOFO includes forms beyond those required for file one and file two. Complete all of these forms and submit through Grants.gov.

See the list of standard forms.

Required format Page limit for file one and file two combined: 200 pages.

File format: Portable Document Format (PDF) is recommended, but not required. ACF supports the following file formats when you attach files to the Project Narrative Attachment form and the Other Attachments form:

1. Review 2. Get Ready 3. Prepare 4. Learn 5. Submit 6. Award Contacts

Step 3: Prepare Your Application 23 http://grants.gov/ http://grants.gov/

Accepted file formats

• Adobe PDF (.pdf)

• Microsoft Word (.doc or .docx)

• Microsoft Excel (.xls or .xlsx)

• Microsoft PowerPoint (.ppt)

• Image formats (.JPG, .GIF, .TIFF, or .BMP only)

Document formats Paper size: 8 ½ inches x 11 inches.

Margins: 1 inch all around.

Language: English.

If possible, include page numbers.

Do not include external links to information you want reviewers to assess because reviewers will score the application solely on information provided in the application.

Fonts Font: Times New Roman.

Color: Black.

Size: 12-point font.

Footnotes and text in tables and graphics may be 10-point.

Spacing Table of contents: Must be single-spaced.

Project summary: Must be single-spaced.

Project narrative: Must be double-spaced.

Line-item budget and budget narrative: Can be single-spaced.

Attachments: Can be single-spaced.

Tables and footnotes throughout: Can be single-spaced.

See disqualification factors to understand what may disqualify your application from consideration.

Table of contents At the beginning of file one, insert a table of contents that guides a reader through the contents of both files in your application. If possible, include links to the relevant content in file one.

Project summary Provide a one-page summary of the project description. Do not cross-reference to other parts of your application. The summary must include:

Step 3: Prepare Your Application 24

• At the top, the project title, applicant name, address, phone numbers, email addresses, and any website URL.

• A statement indicating whether the application is for a 3-year non-construction project or a 4-year construction project.

• A brief description of the project, including the needs and population you will address, and your proposed services.

Project narrative The project narrative is where you address all your proposed activities. It is a critical section of your application, which we evaluate using the merit review criteria and rank based on application scores. Remember that substance and measurable outcomes are more important than length. We are particularly interested in project narratives that convey strategies for achieving intended performance.

In it, you must:

• Explain how the project will meet the purpose of the NOFO, as described in the program description section.

• Make sure your narrative is clear, concise, and complete.

• Use cross-referencing rather than repetition.

• Be sure to include any required supporting documents noted. You generally provide these in your attachments.

• Use the headings and order of the sections that follow.

Geographic location Provide the precise physical location of your project and boundaries of the area you will serve. If you will include any subrecipients in your project that will serve the geographic areas include their locations as well.

Need for assistance Identify the problems you plan to solve. These problems could be physical, economic, social, financial, institutional, etc. To do so:

• Demonstrate the need, including the nature and scope of the problem.

• You may provide supporting documentation, such as testimonials, in your attachments.

• Include any relevant data based on planning studies or needs assessments. You may refer to them in the endnotes or footnotes.

• Use demographic data and participant or beneficiary information where you can.

Step 3: Prepare Your Application 25

Objectives State your main objectives and any sub-objectives. Address how the objectives stated relate to the overall purpose of this program and describe how you will achieve the objectives.

Expected outcomes Identify the outcomes you plan to achieve from the project. Outcomes should relate to the overall program as described in the program description section. If research is part of the proposed work, outcomes must include hypothesized results and implications of the proposed research.

Approach Outline your action plan. Describe the scope and detail of how you will accomplish your proposed project. Account for all functions or activities you identify in your application.

Explain potential obstacles and challenges to accomplishing your project goals. Explain the strategies you will use to address them.

• Describe how you will implement each aspect of the project to successfully create full-time positions.

• Describe a viable recruitment strategy and tracking system to ensure that at least 75 percent of the new positions are filled by individuals with low incomes, as defined by the HHS poverty guidelines referenced in the program description.

◦ Demonstrate that a majority of those individuals need the wraparound services provided by the project.

◦ Demonstrate that your strategy focuses on the number of positions created, rather than the number of people hired to fill them over the course of the grant.

• In the attachments section, provide signed third-party agreements with social service providers that will enable you to obtain referrals of individuals with low incomes.

◦ Agreements must describe the roles and responsibilities that both you and the service provider will have in support of the project.

◦ Agreements must be signed and dated by both the applicant and social service provider staff with signature authority.

Step 3: Prepare Your Application 26

• Social service provider—An agency or organization that works with individuals with low incomes and can help a recipient fill the newly created positions with individuals with low incomes. Examples of social service providers include Temporary Assistance for Needy Families (TANF), employment education and training programs (such as the Department of Labor’s Employment and Training Administration–funded One-Stop Career Centers), and local Child Support Enforcement agencies.

Project timeline and milestones Provide a timeline for your project that includes milestones. To do so:

• Organize the information by task and subtask, showing related milestones.

• Provide monthly or quarterly quantitative projections for what you plan to complete and by when. For example, provide the number of people you plan to serve or the number of a certain activity you plan to complete.

• Provide target dates for activities you can’t quantify.

• Cover the full period of performance in your timeline.

Organizational capacity Provide the following information for your full project team, including the applicant organization and any cooperating partners, contractors, and subrecipients:

• Provide evidence that your team has the relevant experience and expertise needed to carry out your project.

• Describe your team’s experience (including any partnering organizations) with administering, developing, implementing, managing, and evaluating similar projects.

• Provide evidence that your team, including partnering organizations, has the organizational capability to fulfill their roles and functions effectively.

• Provide some supporting information in the organizational capacity supporting information section of your attachments.

• Demonstrate that the board of directors has granted board approval for the proposed project.

Step 3: Prepare Your Application 27

• Board approval—A document authorizing the approval of the proposed project by the board of directors to ensure the goals and objectives of the project are community driven and align with community-prioritized needs for job creation.

This could be demonstrated through a board resolution, meeting notes, or other written documentation that records the decisions or actions of a CDC board of directors.

• If you cannot demonstrate substantial experience with economic development projects similar in size and scope to those proposed in the application, provide evidence of a viable partnership with a more experienced partner.

◦ Describe how the more experienced partner will provide the administrative, technical, and financial technical assistance needed to ensure the success of the project.

◦ Demonstrate such a partnership through a third-party agreement that includes a description of roles and the relationship between you and the project partner.

• More experienced partner—A project partner that successfully meets all of the following requirements:

◦ Is a CDC.

◦ Has completed two or more CED projects.

◦ Has completed one or more projects involving activities similar to the proposed project.

◦ Has experience with collaborative programming.

• Project partner—Any individual, organization, or business entity participating in the project that is not the direct recipient of CED grant funds. Typical project partners include equity investors, donors, a more experienced partner, a wholly owned subsidiary, or a business entity to which the recipient makes a loan or equity investment in support of grant purposes.

Note that CED recipients must play a substantive role in the project. A recipient working with a project partner must actively monitor the project and ensure compliance with CED program requirements.

• Provide resumes demonstrating that the identified staff are qualified for their roles in the project. Identify the percentage of time each individual has available for the project.

• State whether all key project staff positions are filled with identified staff who have available time to fill the appropriate time commitments.

Step 3: Prepare Your Application 28

• Demonstrate that key project staff have experience in supervision, financial management, business development and management, and working with the target population.

• Describe each individual’s skills and experience in enough detail to demonstrate their ability to fulfill the tasks assigned to them.

• In cases where a key staff person has not yet been hired, demonstrate that an appropriate position description, recruitment strategy, and estimated hiring timeline have been developed.

• Provide evidence of two business creation or business expansion projects that you or your project partner have undertaken within the last 10 years that are similar in scope or scale to the project for which you are requesting CED funding.

◦ Provide evidence that these projects were successful in creating full-time, full-year positions that lasted for at least 2 years beyond the project period.

◦ For each example given, provide a quantitative and qualitative description of the impact of these projects and the number of years of project operation and position availability. For example, you could describe the number of jobs created for individuals with low incomes, wages, benefits, and position descriptions, or evidence of employees no longer needing public support.

Plan for oversight of federal award funds and activities You must ensure proper award oversight. The regulation that governs this oversight is 45 CFR Part 75 Subpart D (or, starting October 1, 2025, 2 CFR part 200). It includes standards for:

• Financial and program management.

• Property management.

• Procurement.

• Performance and financial monitoring and reporting.

• Subrecipient monitoring and management.

• Record retention and access.

• Remedies for noncompliance.

• Prior written approval.

Describe your framework to ensure proper oversight of federal funds and activities.

Include:

• A description of the governance, policies and procedures, and systems you use for record keeping and financial management.

1. Review 2. Get Ready 3. Prepare 4. Learn 5. Submit 6. Award Contacts

Step 3: Prepare Your Application 29 https://www.ecfr.gov/current/title-45/part-75/subpart-D https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200#subpart-D

• A description of the procedures to identify and mitigate risks and issues. These might include audit findings, continuous performance assessment findings, and monitoring.

• The key staff who will be responsible for maintaining oversight of program activities staff and any partners or subrecipients.

By accepting an award, all funded recipients agree to participate fully in federal evaluations, if selected, and to follow all evaluation protocols established by ACF or its designee contractor. Your participation may include:

• Supporting and complying with special data collection requirements.

• Providing additional administrative data on program participation or service receipt.

• Facilitating onsite meetings and observations, including interviews with program and partner managers and staff as well as participants.

• Incorporating planned variation into program strategies.

Recipients selected to be in a federal evaluation:

• Will receive technical assistance and other support in meeting evaluation requirements.

• Must also meet regular award reporting requirements.

If necessary, OCS will seek approval for information collections related to the federal evaluation through the OMB Office of Information and Regulatory Affairs and will not request information for the federal evaluation that is subject to PRA until the information collection is approved.

You must include a statement confirming that you agree to participate in a federal evaluation if selected.

Business plan If you will use federal funds to support a business operation, provide a business plan that includes the following sections.

Step 3: Prepare Your Application 30

Participating business viability Identify and demonstrate the viability of all participating businesses to be created or expanded through this project. Include the following for each business:

• A description of the business.

• An explanation of whether it will be a new business or a business expansion.

• A description of what the business will use CED funds for.

• How many positions the business will create.

In all instances involving a loan:

• Identify the businesses that will receive the initial loans, not any subsequent future loans.

• Indicate that copies of signed loan agreements will be submitted to ACF upon establishing such loans with program participants.

• Note that repayment of all loans funded with CED funds must begin during the funded project period. No portion of a loan is forgivable.

Explain how you calculated the projected business earnings for all the participating businesses:

• Include the necessary documentation to show that earnings are realistic and achievable.

• Find details about the needed documents in the attachments section under financial documentation.

Show that the participating businesses will create positions in a viable industry:

• Discuss the industry’s short- and long-term outlook.

• Provide recent market research and industry data (published within the past 5 years) that shows that the participating businesses will be viable in terms of competition, anticipated market, customer base, and market trends.

Demonstrate that you or the participating businesses have control of the site or facilities required to operate the project or that site control is conditioned only on receiving the grant award.

• Provide proof that the physical facility is or will be secured, as outlined in the attachments section under evidence of site control.

For all participating businesses, include a signed third-party agreement between you and the participating business that includes the following:

• A description of each of your roles and the relationship between you and the participating business.

Step 3: Prepare Your Application 31

• A commitment to creating new full-time, full-year positions, 75 percent of which will be filled by individuals with low incomes.

• A commitment to maintaining and providing accurate, unduplicated counts of positions created, as distinct from the number of individuals hired to fill them over the course of the grant.

• All of the elements outlined in third-party agreements.

High-quality job creation Include a table showing the total number and types of new full-time, full-year positions that will be created. For each position, the table should show:

• Position title.

• A summary of the duties associated with the position.

• Anticipated starting wage or salary.

• A projection of wage or salary growth opportunities.

Present data published within the past 5 years showing that the wages are adequate for self-sufficiency in the geographic area where the businesses will be located.

Demonstrate that the participating businesses will create high-quality jobs. This should include offering comprehensive employee benefits to those who fill the newly created positions, including at least three of the following:

• Health care benefits.

• Retirement benefits.

• Paid leave.

• Career growth opportunities.

• Flexible and predictable work hours.

• Opportunities to be meaningfully integrated into the business.

• Any additional benefits that contribute to the self-sufficiency of the employee.

Describe how individuals with low incomes will be supported in achieving career growth and advancement, including any training, educational, or certification opportunities that participating businesses will provide their employees.

Provide evidence of participating businesses’ ability and commitment to providing such benefits and career growth opportunities, as outlined in the attachments section under evidence of participating business commitment to quality jobs.

Describe how the full-time positions will be created during the project period and sustained…