Manufacturing in America - E2G Grant Inititative Qs & As - June 2026 - Updated.pdf

Townhall: Manufacturing in America E2G Grant Initiative

Questions and Answers

From All Three E2G Manufacturing Grant Webinars

Page 10 - Q&As From Second Webinar Page 20 - Q&As From First Webinar

QUESTIONS & ANSWERS FROM THIRD WEBINAR

Question: If our organization has proven, hands-on training helping small manufacturers adopt automation, but is not a Manufacturing Extension Partnership or something similar, and has no experience targeting eligible firms for Empower to Grow (“E2G”), are we best off contracting under a MEP? In other words, will the ability, history, and facilities to reach eligible firms weigh heavily on the Grant review process?

Answer: Yes. A timely, complete application received from eligible organizations will be evaluated in accordance with their organizational experience and capacity, project management, project design, collaboration and leveraging resources, and ability to reach special target markets.

See Section 5.0 of the Notice of Funding Opportunity for more detailed information about each of these five criteria.

Question: Can technical assistance and incumbent worker training provided directly to existing employees of small manufacturers count toward program outcomes?

Answer: Applicants will be evaluated on their proposed approach for providing hands-on, in-person manufacturing training and technical assistance; their proposed methodology for evaluating and assessing the effectiveness and impact of their technical support; and the expected measurable outcomes and objectives proposed. Innovation and creativity in providing training assistance to E2G-eligible firms are strongly desired. Applicants must describe in detail the proposed technical assistance delivery methods and products, implementation of stated methods and products, and measurable evaluation criteria for the respective methods and products.

Question: Is a Workforce Development Consortium/Area eligible to apply?

Answer: The purpose of this Funding Opportunity Announcement is to invite proposals for funding from established organizations interested in providing innovative hands-on, in-person manufacturing training and technical assistance to eligible small manufacturing business concerns, under the U.S. Small Business Administration's Empower to Grow Program (formerly known as 7(j) Management and Technical Assistance Program). All interested applicants are encouraged to carefully read through the entire Notice of Funding Opportunity and make their own decision as to whether they meet the stated eligibility requirements and purpose for this grant initiative.

Question: When will the Grants be decided/awarded?

Answer: The SBA is anticipating issuing awards to as many as 10 eligible applicant organizations by the end of July but no later than the end of August.

Question: We have received some interest from another educational institution that is interested in teaming up with us, if subcontracts are not allowed, what is the best way to include them, they have some specialized equipment and geographic advantages that would help.

Answer: No more than 49 percent of award funds may be expended on contractor and/or consultant costs. Please review the 2 CFR 200 guidance on pass-through entity vs subrecipient.

SBA follow all Federal Regulations - https://www.ecfr.gov/current/title-2/part-200/section- 200.1#p-200.1 (Pass-through%20entity) and eCFR : 2 CFR Part 200 Subpart D - Subrecipient Monitoring and Management https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part- 200/subpart-D/subject-group-ECFR031321e29ac5bbd

SBA has announced up to $50M in grant awards to as many as 10 eligible applicant organizations that will provide training and technical assistance to support small manufacturers in the SBA’s Empower to Grow (E2G) Program. The SBA does not envision any of the 10 eligible applicants receiving an award to issue subawards to partnering organizations, but instead partner together to execute the technical proposal. Applicant organization structures will be evaluated on a case-by-case basis after the deadline, including contractor or consultant relationships in compliance with section 2.4.

Question: Are the attachment items referenced (resumes, org chart, etc.) to be included in the technical proposal AND as an attachment? Or just as an attachment?

Answer: As stated in section 4.1.2 Attachments and Exhibits in the Notice of Funding Opportunity, in addition to the items discussed in the Technical Proposal and Budget Information sections, applicants must attach copies of the documents listed below, as attachments. Applicants are encouraged to include their organizational chart as an attachment, as well.

• Résumés, position descriptions, contracts, consulting agreements, letters of support, pledges of additional funding or in-kind resources, leases, conflict of interest policy, and cost policy statement;

• Copy of the applicant’s cost policy statement that includes the applicant’s general accounting policies, description of cost allocation methodology for salaries and wages, direct and indirect costs, grants and contracts, and expenditure allocations and guidelines the applicant follows;

• Last three years of Single Audit reports as required by 2 CFR § 200. 2 CFR Part 200 Subpart F Audit Requirements. The applicant can submit Single Audit Act reports. If the applicant is not required by law to comply with the Single Audit Act, audited financial statements will suffice. Audited financial statements must be submitted within ninety (90) days of receipt of the Notice of Award under this Funding Opportunity.

https://www.ecfr.gov/current/title-2/part-200/section-200.1#p-200.1 https://www.ecfr.gov/current/title-2/part-200/section-200.1#p-200.1 https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200/subpart-D/subject-group-ECFR031321e29ac5bbd https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200/subpart-D/subject-group-ECFR031321e29ac5bbd

• Any other documentation the applicant believes supports its proposal.

Question: Where can the necessary forms be found for completion?

Answer: All proposals (narratives and forms) must be submitted electronically via the government-wide financial assistance portal www.Grants.gov. NO OTHER FORMS OF SUBMISSION WILL BE ACCEPTED. All required forms are provided in the Grants.gov application package for this funding opportunity. Specific instructions for obtaining, completing, and submitting an application via Grants.gov, including animated tutorials, may be found at http://www.Grants.gov/web/grants/applicants.html. See section 4.2 Submission Instructions in the Notice of Funding Opportunity.

Question: A lead applicant has 4 subrecipients. The lead applicant keeps 51% of the grant, the subrecipient keep 49%. Can the SUBRECIPIENTS use their funds for contractors?

Answer: The lead recipient (applicant) must maintain programmatic control and fiscal responsibility with meaningful responsibility.

Question: Can the grant be used to purchase equipment needed to assist small businesses?

Answer: Funds may be used for business expenses which are ordinary and necessary for the purposes in the funding opportunity announcement. Tools and equipment may be purchased with prior written approval from SBA. Tools and equipment purchased using grant funds must be used for this program or other federal programs as necessary. Use for non-federally-funded projects is also permissible, provided such use will not interfere with the purpose for which it was originally acquired. Property records, inventory, and safety systems must be in place for equipment purchased using this award.

Funds provided under the E2G Program must be used solely for the purposes stipulated in this Funding Opportunity and the Notice of Award and may not be commingled with any other monies. All costs proposed in an applicant’s budget must meet the tests of allowability, allocability, and reasonableness set forth in the applicable Office of Management and Budget cost principles. 2 CFR §§ 200.403, 200.404, and 200.405.

Question: How much information does SBA need on the budget narrative and A-9 - A-12 budget for subcontracts?

Answer: The Applicant’s budget detail worksheets (Attachments A-9 through A-12) must include the budget information of all the cost elements/line items covered in SF-424A, including information on subcontracts. Applicants are encouraged to complete all required forms according to the form instructions.

http://www.grants.gov/ http://www.grants.gov/web/grants/applicants.html

Question: How does SBA want the organization chart to be made when we are partnering with outside organizations for this grant?

Answer: The organizational chart should reflect the Applicant’s planned project as described in its technical proposal.

Question: I understand that the Cover Letter should be the "first page of the application," but those instructions make no sense when reading the "Instructions" for this program or completing the "Grants.Gov" e-application. Attachment 1 is a table of contents. Attachment 2 consists of budget forms. And so on.... There is literally NO attachment for the Cover Letter.

Answer: Applicants can include their cover letter as the first page of their technical proposal which will NOT count toward the 15-page limit. All proposals (narratives and forms) must be submitted electronically via the government-wide financial assistance portal www.Grants.gov.

NO OTHER FORMS OF SUBMISSION WILL BE ACCEPTED. All required forms are provided in the Grants.gov application package for this funding opportunity. Specific instructions for obtaining, completing, and submitting an application via Grants.gov, including animated tutorials, may be found at http://www.Grants.gov/web/grants/applicants.html.

Question: Could you please confirm if an application submitted by a university (like MIT) and/or a state-incorporated for-profit S-corporation would be fully eligible under this criteria?

Additionally, what are the specific rules, limitations, or caps regarding who can serve as a subcontractor or subrecipient under the prime applicant for this multi-entity collaboration?

Answer:

As described in Section 5.2 of the NOFO, to be eligible for this funding opportunity, an applicant must:

• Be a for-profit or not-for-profit entity (including, but not limited to small businesses, other-than small businesses, trade and professional associations, and educational institutions);

• Have been in existence continually for at least the past three years;

• Have experience providing hands-on, in-person technical assistance, tools, or training relating to small manufacturing businesses on a regional or national basis; and

• Demonstrate that it has the capacity to provide manufacturing-related training and technical assistance to small business concerns.

All rules and limitations for subcontracting can be found under 2 CFR 200 in the Code of Federal Regulations.

http://www.grants.gov/ http://www.grants.gov/web/grants/applicants.html

Question: The RFP states that eligible applicants must have a track record of providing technical assistance or training to small manufacturing businesses on a regional or national basis. For our past experience, we have some data in the US and a large, established framework in Mexico that we would like to duplicate so that US manufacturers can benefit from it. Should we include our methodology and data from Mexico to demonstrate our training capacity, or are you strictly looking for US-based data?

Answer:

As described in Section 5.2 of the NOFO, to be eligible for this funding opportunity, an applicant must:

• Be a for-profit or not-for-profit entity (including, but not limited to small businesses, other-than small businesses, trade and professional associations, and educational institutions);

• Have been in existence continually for at least the past three years;

• Have experience providing hands-on, in-person technical assistance, tools, or training relating to small manufacturing businesses on a regional or national basis; and

• Demonstrate that it has the capacity to provide manufacturing-related training and technical assistance to small business concerns.

Question: The RFP states that the objective is to provide innovative hands-on, in-person training to small manufacturing business concerns under the E2G program. When designing our regional training pipelines, can our target audience for these programs be targeted toward which of these participants : vocational schools, community colleges, high schools, universities, after-school programs, and summer programs, or is training strictly limited only to individuals who are already active employees of eligible small manufacturing businesses? Additionally, can we target job-seekers who are currently looking for manufacturing jobs, or is training strictly limited only to individuals who are already active employees of eligible small manufacturing businesses?

Answer:

See section 1.4 in the Notice of Funding Opportunity.

Question: The RFP states that if an organization does not have an approved ICRA/NICRA, it must negotiate one with the SBA in accordance with the applicable OMB Cost Principles. For organizations applying that do not currently have a NICRA in place, could you please outline the exact process, timeline, and initial steps required to go about negotiating and setting one up with the SBA? And how long is can this process take?

Answer:

A NICRA is not required.

Question: If an organization prefers to participate as a subrecipient or subcontractor rather than the prime recipient, is there a designated web portal, capability matching board, or matchmaking platform where we can post our capabilities to explore teaming opportunities with potential primes?

Answer: No

Question: When do you determine the winner and award dates? What are the dates for those?

Answer: The SBA is anticipating issuing awards to as many as 10 eligible applicant organizations by the end of July but no later than the end of August.

Question: Can a small business apply without contracts? We want to add to our growth by internships, but it would be hands on metal manufacturing.

Answer: All interested applicants are encouraged to carefully read through the entire Notice of Funding Opportunity and make their own decision as to whether they meet the stated eligibility requirements and purpose for this grant initiative. Funds provided under the E2G Program must be used solely for the purposes stipulated in this Funding Opportunity and the Notice of Award and may not be commingled with any other monies. All costs proposed in an applicant’s budget must meet the tests of allowability, allocability, and reasonableness set forth in the applicable Office of Management and Budget cost principles. 2 CFR §§ 200.403, 200.404, and 200.405. No more than 49 percent of award funds may be expended on contractor and/or consultant costs.

Question: Can a private company partner with a state and city entity where each entity has a mission related to the grant, for example the university /college partner is focused on workforce development, we have one specific to manufacturing based CMMC compliance and us with STEM/technical assistance on their specific hardware?

Answer: All interested applicants are encouraged to carefully read through the entire Notice of Funding Opportunity and make their own decision as to whether they meet the stated eligibility requirements and purpose for this grant initiative.

Question: We have experience in education and training for manufacturing and operations in the areas of accelerator and nuclear systems. We would like to install new equipment into an existing space that we could use for training in design, manufacturing, installation, and operation of electron accelerator systems. Can grant funds be used to pay for the purchase and installation of this equipment? This might include construction related costs like electrical and cooling system installation.

Answer: Funds may be used for business expenses which are ordinary and necessary for the purposes in the funding opportunity announcement. Tools and equipment may be purchased with prior written approval from SBA. Tools and equipment purchased using grant funds must be used for this program or other federal programs as necessary. Property records, inventory, and safety systems must be in place for equipment purchased using this award.

Question: Textile Manufacturing firm was INOPERATIVE SINCE 2021 due to COVID 19 but has been filing as INACTIVE to all government compliance requirements, can it be a candidate for this Grant E2G?

Answer: All interested applicants are encouraged to carefully read through the entire Notice of

Question: Are you able to use these funds to build training facilities for the regional manufacturing training pipelines? Example: STEM Lab Equipment for Opportunity Youth to train in Pre-Apprenticeships that lead into Apprenticeships as incumbent workers.

Answer: Funds provided under the E2G Program must be used solely for the purposes stipulated in this Funding Opportunity and the Notice of Award and may not be commingled with any other monies. All costs proposed in an applicant’s budget must meet the tests of allowability, Question: Where can I find the formatting guidelines? Specifically, stuff like the font size, spacing, and layout requirements.

Answer: Applicants are expected to use their best judgement with the font, text size and margins used for the technical narrative, attachments and exhibits.

Question: Please clarify the connection of how the marketing plan directed for student recruitment or student training relates to an eligible SBA firm. A student is not an eligible SBA firm. A student who receives training may choose not to work at an SBA firm.

Answer: This Manufacturing in America E2G Grant Initiative aligns with the SBA’s strategic priorities to empower small businesses, bring manufacturing jobs back to the United States, and addresses workforce shortages, operational inefficiencies, and limited access to contract opportunities. SBA is seeking proposals that provide hands-on, in-person training to SBA’s E2G eligible small manufacturing firms in key manufacturing industries, including but not limited to aerospace, ship building, rail equipment, mining, industrial machinery and equipment, construction equipment, metal fabrication, electrical equipment, food processing, medical and precision manufacturing, advanced manufacturing, robotics.

Question: Are you able to use the funds to pay for stipends to train incoming workers and incumbent workers within local educators such as Trade Schools, JC's, or inside of facilities located inside manufacturing companies?

Answer: The grant is subject to 2CFR200 in the Federal Code of Regulations.

Question: Confirming for the technical narrative and annexes there are no font, text size, or margin limitations outside of the page limitations?

Answer: Applicants are expected to use their best judgement with the font, text size and margins used for the technical narrative, attachments and exhibits.

Question: Given that the applicants and any implementation partners must front the funding, what is the turn-around time for payments by the SBA? To what extent is SBA willing to process payments monthly or to provide cash advances?

Answer: The cost reimbursement structure for the manufacturing grant initiative is advanced payments with quarterly financial reporting over 12 months. All costs should be reasonable, allocable, and allowable based on 2 CFR 200.

Question: Recognizing the importance of hands-on, in-person training delivery, what are the SBA's expectations in terms of integration of blended or virtual learning approaches to deliver pre-training preparation or foundational coursework?

Answer: Applicants will be evaluated on their proposed approach for providing hands-on, in-person manufacturing training and technical assistance; their proposed methodology for evaluating and assessing the effectiveness and impact of their technical support; and the expected measurable outcomes and objectives proposed. Innovation and creativity in providing training assistance to E2G-eligible firms are strongly desired. Applicants must describe in detail the proposed technical assistance delivery methods and products, implementation of stated methods and products, and measurable evaluation criteria for the respective methods and products. All interested applicants are encouraged to carefully read through the entire Notice of Funding Opportunity and make their own decision as to whether they meet the stated eligibility

Question: Can we include a table of content or not recommended? And will that be counted from the 15-page limit?

Answer: Applicants can include a table of contents and cover letter to their technical proposal and they will NOT be counted towards the 15-page limit.

Question: Are all grant requests for exactly a one-year duration? For example, could the program/grant run over 2 years?

Answer: Award(s) will be made for a project period of 12 months. Section 2.3 of the NOFO - Period of Performance/Budget Periods - states that Awards will be made for a 12-month period of performance. Section 4.1.3 Budget Information states that Grant Recipients are expected to spend the full amount of the grant funding listed in their Notice of Award for the 12-month project period, per their quarterly budget allocation documentation submitted along, and in concert with, their technical proposal.

Question: You stated clearly that the Cover Letter needs to be the first page of the application, but the Instructions and Grants.Gov do not allow this. How is the applicant supposed to make sure the Cover Letter is the first page when that contradicts the program Instructions and there is no place to do this in Grants.Gov?

Answer: Applicants can include their cover letter as the first page of their technical proposal and it will NOT be counted towards the 15-page limit.

Question: Can a manufacture apply to install a robotic system?

funding from established organizations interested in providing innovative hands-on, in-person manufacturing training and technical assistance to eligible small manufacturing business concerns, under the U.S. Small Business Administration's Empower to Grow Program (formerly known as 7(j) Management and Technical Assistance Program).

Funds provided under the E2G Program must be used solely for the purposes stipulated in this Funding Opportunity and the Notice of Award and may not be commingled with any other monies. All costs proposed in an applicant’s budget must meet the tests of allowability, Question: Will the SBA be involved in reviewing any subrecipient agreements? If yes, will this be done before the 12-month clock begins?

Answer: Yes and Yes.

Question: Can the budget extend more than 12 months to maximize impacts, or would a no cost extension be allowed?

Answer: No-Cost extensions are not envisioned for these grants. Award(s) will be made for a project period of 12 months. Section 2.3 of the NOFO - Period of Performance/Budget Periods -states that Awards will be made for a 12-month period of performance. Section 4.1.3 Budget

Information states that Grant Recipients are expected to spend the full amount of the grant funding listed in their Notice of Award for the 12-month project period, per their quarterly budget allocation documentation submitted along, and in concert with, their technical proposal.

Question: Can funds be used to provide participant support (stipends) to current 2 and 4-year undergraduate students to participate in internships with E2G businesses? (Rational being E2G businesses, especially in rural communities, struggle to recruit and compete for interns which impact workforce pipeline)?

Answer: No.

Question: Where can we obtain the A-9 through A-12 attachments to the Budget Detail Worksheet?

Answer: All information and documents are available when applicants apply to the announcement on Grants.gov.

Question: Will there be any difference in the way For Profit and Non-Profit entities are reviewed?

Question: The FOA references hands-on, in-person technical assistance and training as a core eligibility and evaluation criterion. Does SBA have a defined minimum percentage of program contact hours that must be delivered in-person and hands-on (i.e., at a physical manufacturing or training site, with participants operating equipment or machinery)? Or is the determination of adequacy left to reviewer judgment? Our program anchors all technical training in the Ani- Maker Space — a functioning production facility — and we want to confirm our model fully satisfies SBA’s standard.

Answer: Applicants will be evaluated on their proposed approach for providing hands-on, in-person manufacturing training and technical assistance; their proposed methodology for evaluating and assessing the effectiveness and impact of their technical support; and the expected measurable outcomes and objectives proposed. Innovation and creativity in providing training assistance to E2G-eligible firms are strongly desired. Applicants must describe in detail the proposed technical assistance delivery methods and products, implementation of stated methods and products, and measurable evaluation criteria for the respective methods and products. All interested applicants are encouraged to carefully read through the entire Notice of Funding Opportunity and make their own decision as to whether they meet the stated eligibility

Question: Be in existence for at least 3 years. We will be 3 years in 10/23/2026. Can we still apply?

Answer: Yes.

Question: If an applicant requests a specific level of funding, will you respond and offer partial funding? Also, will you accept joint applicants?

Answer: There is no lower limit on the funding amount requested. Accepted proposals below $5 million will be deemed eligible if appropriately scoped and justified for the proposed regional implementation strategy and workforce/training activities. The E2G Program will provide a total of up to $50 million via up to ten grants of up to $5 million to eligible participants that submit proposals that are unique and innovative in providing in-person and hands-on manufacturing training skills and technical assistance to eligible small manufacturing business concerns.

Question: During the presentation it was stated to have contracts and agreements in place. At the application stage, do you require fully executed agreements and contracts, or are non-binding letters of commitment or intent acceptable, with executed agreements furnished at time of award?

QUESTIONS & ANSWERS FROM SECOND WEBINAR

Question: If a lead applicant coordinates delivery through multiple state-based implementation partners, how much day-to-day operational control must remain centralized with the prime applicant?

Answer: The lead recipient (applicant) must maintain programmatic control and fiscal responsibility with meaningful responsibility.

Question: How does SBA distinguish between an acceptable collaborative consortium model and an impermissible “pass-through” structure?

Anwer: The SBA does not envision any of the 10 eligible applicants receiving an award to issue subawards to partnering organizations, but instead partner together to execute the technical proposal. Applicant organization structures will be evaluated on a case-by-case basis after the deadline, including contractor or consultant relationships in compliance with section 2.4.

Question: Can you identify the common budget preparation and submission errors observed in SF‑424/SF‑424A applications, particularly those that affect compliance or competitiveness?

Answer: Budget information must be provided through the completion or submission of the following:

• Standard Form (SF) 424 (Version 4), Application for Federal Assistance. Version 4 of Standard From 424 must be used by all applicants.

• SF-424A, Budget Information (Non-Construction Programs).

• Budget Detail Worksheet (Attachments A-9 through A-12 to the SF-424A). An applicant may substitute its own forms or spreadsheets in place of the Budget Detail Worksheet, provided it includes all the same cost elements/line items covered by Attachments A-9 through A-12.

• Budget narrative providing a detailed explanation of the components of each cost element listed in the SF-424A.

Grant Recipients are expected to spend the full amount of the grant funding listed in their Notice of Award for the 12-month project period, per their quarterly budget allocation documentation submitted along, and in concert with, their technical proposal.

Question: Can a proposal serve multiple SBA regions or states outside the applicant’s home SBA region, provided the applicant demonstrates operational capacity and in-person/hands-on delivery capability?

Question: Can a portion of the $5 million be allocated for equipment for suppliers?

Question: Where can we find the Past Performance Questionnaire (PPQ) form referenced in the

NOFO?

Answer: The NOFO does not mention Past Performance Questionnaire (PPQ).

Question: Section 1.4 emphasizes hands-on, in-person training for technical proficiency. Section

4.1.2 lists capability statements, contract management, compliance, and proposal pricing among allowable TA topics. For these office-side or contracting-readiness topics, does the hands-on, in-person methodology requirement apply identically, or can these be delivered through hybrid or coached cohort formats?

Answer: SBA requires grantee to provide hands-on, in-person training to SBA’s E2G eligible small manufacturing firms in key manufacturing industries, including but not limited to aerospace, ship building, rail equipment, mining, industrial machinery and equipment, construction equipment, metal fabrication, electrical equipment, food processing, medical and precision manufacturing, advanced manufacturing, robotics.

Question: We have a DOL apprenticeship and want to buy a building here in Bastrop to manufacture industrial supplies and gases, as well as train Americas workforce. Can we use this funding to buy property?

Answer: No. The purpose of this Funding Opportunity Announcement is to invite proposals for funding from established organizations interested in providing innovative hands-on, in-person manufacturing training and technical assistance to eligible small manufacturing business concerns, under the U.S. Small Business Administration's Empower to Grow Program (formerly known as 7(j) Management and Technical Assistance Program).

Question: Do we need to have an existing training infrastructure, or can this grant be used to set up a training system. We would need machinery and facilities that we can't currently afford to begin training, but have the qualifications?

Answer: The purpose of this Funding Opportunity Announcement is to invite proposals for funding from established organizations interested in providing innovative hands-on, in-person manufacturing training and technical assistance to eligible small manufacturing business concerns, under the U.S. Small Business Administration's Empower to Grow Program (formerly known as 7(j) Management and Technical Assistance Program). All interested applicants are encouraged to carefully read through the entire Notice of Funding Opportunity and make their

Question: How are you defining a sub awardee and how are you defining a contractor? Using this terminology, how are sub awardees and contractors accounted for under the 49% rule, stated on page 9 of the notice of funding opportunity? See below:

Answer: No more than 49 percent of award funds may be expended on contractor and/or consultant costs. Please review the 2 CFR 200 guidance on pass-through entity vs subrecipient.

SBA follow all Federal Regulations - https://www.ecfr.gov/current/title-2/part-200/section- 200.1#p-200.1 (Pass-through%20entity) and eCFR : 2 CFR Part 200 Subpart D - Subrecipient Monitoring and Managementhttps://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part- 200/subpart-D/subject-group-ECFR031321e29ac5bbd

SBA has announced up to $50M in grant awards to as many as 10 eligible applicant organizations that will provide training and technical assistance to support small manufacturers in the SBA’s Empower to Grow (E2G) Program. The SBA does not envision any of the 10 eligible applicants receiving an award to issue subawards to partnering organizations, but instead https://www.ecfr.gov/current/title-2/part-200/section-200.1#p-200.1 https://www.ecfr.gov/current/title-2/part-200/section-200.1#p-200.1 https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200/subpart-D/subject-group-ECFR031321e29ac5bbd https://www.ecfr.gov/current/title-2/subtitle-A/chapter-II/part-200/subpart-D/subject-group-ECFR031321e29ac5bbd partner together to execute the technical proposal. Applicant organization structures will be evaluated on a case-by-case basis after the deadline, including contractor or consultant relationships in compliance with section 2.4.

Question: We have lots of experience delivering hands-on training, but none working with E2G entities. Are we eligible to apply for this funding?

Answer: Applicants will be evaluated on their demonstrated ability to provide hands-on, in-person manufacturing-related training and technical assistance to other E2G eligible firms.

Applicants must provide adequate evidence and documentation, including specific examples, of their:

• Experience with, and capacity for, conducting management and technical assistance projects, including discussion of the number of years they have conducted such projects. Please refer to the NOFO Section 5.2.1 regarding measures of past performance.

• Scope of the geographic SBA Regional area and demographic area it intends to serve.

• Expertise with assisting E2G eligible firms, including the number of firms assisted over the prior 3 years and demonstrable evidence of outcomes of assistance provided (e.g., increase in sales, revenues, contracts, number of employees experienced by assisted firms, etc.).

• Knowledge of, and capability for providing, hands-on, in-person training, management and technical assistance, consulting, and training to small manufacturing businesses.

Question: For the technical training side specifically, must hands-on instruction be conducted exclusively in-person with physical equipment, or are simulation-based components — digital twins, virtual equipment, process simulators — recognized as part of the hands-on methodology when paired with in-person sessions on production equipment?

Answer: Applicants will be evaluated on their proposed approach for providing hands-on, in-person manufacturing training and technical assistance; their proposed methodology for evaluating and assessing the effectiveness and impact of their technical support; and the expected measurable outcomes and objectives proposed. Innovation and creativity in providing training assistance to E2G-eligible firms are strongly desired. Applicants must describe in detail the proposed technical assistance delivery methods and products, implementation of stated methods and products, and measurable evaluation criteria for the respective methods and products. The application must address:

• Delivery methods which include hands-on, in-person training approach, means of implementation, anticipated project outcomes, and the criteria under which the methods will be evaluated.

• The innovative approaches to address the current, unique challenges facing small manufacturing firms today.

Question: Regarding the 49% contractor cap: Does paying mentors/instructors as 1099 contractors count toward the 49% cap, or only formal contracts/consulting firms? This shapes whether we hire trainers as W-2 or 1099.

Answer: Please refer to the Notice of Funding Opportunity, Section III – Eligibility Information.

In addition, please see the NOFO (Section 3.2) for Eligible Applicants.

Question: What about an SBDC or other resource partners that has sub awardees that execute the work? The Lead Office still has full control of outcomes. How does this get accounted for in the 49% cap on contractual?

Answer: Applicants will be evaluated on their approach to leverage collaboration with entities such as SBA’s District Offices, other federal, state, local and tribal government agencies, other SBA grant recipients, resource partners, trade associations, business and industry groups, institutions of higher education, and private organizations in order to expand the breadth of the training program and outreach.

Question: Will a single proposal less than 5 million be considered?

Question: My company does not support small businesses, we ARE a small business. Can we apply directly or are we required to partner with a state or non-profit organization?

Answer:

Eligible Applicants As described in Section 5.2, to be eligible for this funding opportunity, an applicant must:

• Be a for-profit or not-for-profit entity (including, but not limited to small businesses, other-than small businesses, trade and professional associations, and educational institutions);

• Have been in existence continually for at least the past three years;

• Have experience providing hands-on, in-person technical assistance, tools, or training relating to small manufacturing businesses on a regional or national basis; and

• Demonstrate that it has the capacity to provide manufacturing-related training and technical assistance to small business concerns.

Question: Just to be clear, the narrative can be no longer than 15 pages?

Answer: Yes. The page limit for the technical proposal is no more than 15 pages.

Question: Audit reports - Are we able to provide links to the past three years rather than the actual reports which can be large files?

Answer: No. Applicants must attach copies of the last three years of Single Audit reports as required by 2 CFR § 200. 2 CFR Part 200 Subpart F Audit Requirements. The applicant can submit Single Audit Act reports. If the applicant is not required by law to comply with the Single Audit Act, audited financial statements will suffice. Audited financial statements must be submitted within ninety (90) days of receipt of the Notice of Award under this Funding Opportunity.

Question: Are additional narrative explanations allowed to be referenced in the technical proposal and included in the Attachments?

Answer: Yes. Applicants will be relied upon to use their best judgement with attachments.

Question: Are No-Cost Extensions available? (i.e., a formal extension of the project period to allow additional time for delivery and project completion without additional funding)?

Answer: No-Cost extensions are not envisioned for these grants. Award(s) will be made for a project period of 12 months. Section 2.3 of the NOFO - Period of Performance/Budget Periods -states that Awards will be made for a 12-month period of performance. Section 4.1.3 Budget Information states that Grant Recipients are expected to spend the full amount of the grant

Question: Is there a preferred project start date? Are there any parameters on date ranges for this one-year long grant?

Answer: The start date will be within 30 days of the date of the award.

Question: Can we allocate part of the budget for sub-awarded project-based training or technical assistance to additional partners beyond the ones mentioned in the proposal after receiving the funding?

Question: What is the projected award date?

Answer: The start date will be within 30 days of the date of the award.

Question: Is a single-county service area acceptable, or do you expect a project to cover an entire SBA District/multi-county region?

Answer: Applicants must provide adequate evidence and documentation regarding the scope of the geographic SBA regional area and demographic area it intends to serve.

Question: When you say you prefer proposals that “maximize funds leading to greater outcomes,” how do you weigh manufacturing firm outcomes (like growth in sales or revenues) vs workforce outcomes (like workers placed or retained)?

Answer: Please refer to Section 5.2 in the Notice of Funding Opportunity for Evaluation Criteria.

Question: On delivery format: Does the SBA require a minimum percentage of training to be in-person/hands-on, or are hybrid models (live workshops + digital/app-based modules for follow-up/self-paced learning) acceptable and encouraged for scalability?

Answer: The purpose of this Funding Opportunity Announcement is to invite proposals for funding from established organizations interested in providing innovative hands-on, in-person manufacturing training and technical assistance to eligible small manufacturing business concerns, under the U.S. Small Business Administration's Empower to Grow Program (formerly known as 7(j) Management and Technical Assistance Program). All interested applicants are encouraged to carefully read through the entire Notice of Funding Opportunity and make their

Question: What are the start and end date of the project? Or do we get to propose those dates?

Answer: The start date will be within 30 days of the date of the award. Award(s) will be made for a project period of 12 months. Section 2.3 of the NOFO - Period of Performance/Budget Periods

- states that Awards will be made for a 12-month period of performance. Section 4.1.3 Budget

Information states that Grant Recipients are expected to spend the full amount of the grant

Question: Is there a lower limit on the funding amount requested? Say $2M?

Answer: No. There is no lower limit on the funding amount requested. The E2G Program will provide a total of up to $50 million via up to ten grants of $5 million to eligible participants that submit proposals that are unique and innovative in providing in-person and hands-on manufacturing training skills and technical assistance to eligible small manufacturing business concerns. Section 4.1.3 Budget Information states that Grant Recipients are expected to spend the full amount of the grant funding listed in their Notice of Award for the 12-month project period, per their quarterly budget allocation documentation submitted along, and in concert with, their technical proposal.

Question: Can you clarify the extent to which the intent of this grant is primarily training individual workers for a task (e.g. operational safety) versus typical 7j training / TA to firms that support their growth and job creation (e.g. applying AI or tapping supply chain opportunities)?

Or both equally?

Answer: The purpose of this Funding Opportunity Announcement is to invite proposals for funding from established organizations interested in providing innovative hands-on, in-person manufacturing training and technical assistance to eligible small manufacturing business concerns, under the U.S. Small Business Administration's Empower to Grow Program (formerly known as 7(j) Management and Technical Assistance Program). All interested applicants are encouraged to carefully read through the entire Notice of Funding Opportunity and make their

Question: During the May 11th townhall webinar, it was stated that the bulk of the awards would be disbursed to grantees as an advance. What does “bulk” mean? 80%? Less? More? What is SBA’s estimated time frame for disbursing the “bulk” of the award?

Answer: The cost reimbursement structure for the manufacturing grant initiative is advanced payments with quarterly financial reporting over 12 months. All costs should be reasonable, allocable, and allowable based on 2 CFR 200.

Question: How do you define a "a regional or national basis" for providing training or technical assistance?

Answer: SBA is accepting of technical proposals that are national or regional in scope and sufficiently define the geographic area being targeted for training services to 7(j) eligible participants. The E2G Program, formerly known as the 7(j) Program, is authorized by the Small Business Act to provide free high-quality training and assistance to eligible small businesses. To be eligible for 7(j) services, a small business owner must be located in areas of high unemployment or low income, owned by low-income individuals, and/or eligible for SBA's 8(a) program.

Question: You mentioned certifications. Are all training classes required to have a certification?

Question: One clarification question regarding the budget floor/cap: although the initiative is described throughout the call as supporting awards “up to $5 million,” the Grants.gov listing appears to show both the award ceiling and award floor as $5 million. Would proposals below $5 million still be eligible if appropriately scoped and justified for the proposed regional implementation strategy and workforce/training activities?

Answer: Yes. Accepted proposals below $5 million will be deemed eligible if appropriately scoped and justified for the proposed regional implementation strategy and workforce/training activities. The E2G Program will provide a total of up to $50 million via up to ten grants of $5 million to eligible participants that submit proposals that are unique and innovative in providing in-person and hands-on manufacturing training skills and technical assistance to eligible small manufacturing business concerns. Section 4.1.3 Budget Information states that Grant Recipients are expected to spend the full amount of the grant funding listed in their Notice of Award for the 12-month project period, per their quarterly budget allocation documentation submitted along, and in concert with, their technical proposal.

Question: Is there any cap or limitation on purchasing equipment or safety-related upgrades necessary for hands-on training delivery? For example, would adding safety systems or monitoring equipment to existing robotic manufacturing infrastructure be considered an allowable cost under the grant?

Answer: There are no limitations.

Question: A factor of ineligibility was having a financial obligation to the Federal Government/SBA, can you explain, does this include 7a loans?

Answer: The following applicants will automatically be considered ineligible, and their applications will be rejected without being evaluated:

• Any applicant that owes an outstanding or unresolved financial obligation to the Federal Government.

• Any applicant that is currently suspended, debarred, or otherwise prohibited from receiving awards of contracts or grants from the Federal Government.

• Any applicant that has an outstanding or unresolved material deficiency reported under the requirements of the Single Audit Act or Audit Requirements under 2 CFR §200 within the past three years.

• Any applicant that has had a Empower to Grow Program grant or cooperative agreement involuntarily terminated or non-renewed by SBA for cause within the past three years.

• Any applicant that has filed for bankruptcy within the past five years.

• Any applicant that proposes to serve as a pass-through and permit another organization to manage the day-to-day operations of the project.

• Any applicant or any agent acting on behalf of the applicant convicted of a felony criminal violation, under any federal law within the past two years.

Question: Could funding be used to expand capital infrastructure as a small business to increase training capacity will need more workspace for technical manufacturing training?

Answer: Funds provided under the E2G Program must be used solely for the purposes stipulated in this Funding Opportunity and the Notice of Award and may not be commingled with any other monies. All costs proposed in an applicant’s budget must meet the tests of allowability, Question: It seems like, if we have been doing this work and want to expand, but need construction or renovation costs, they are eligible. Please confirm.

Answer: Funds provided under the E2G Program must be used solely for the purposes stipulated in this Funding Opportunity and the Notice of Award and may not be commingled with any other monies. All costs proposed in an applicant’s budget must meet the tests of allowability, Question: When is the anticipated award/start date?

Answer: Awards will be made for a project period of 12 months. The award start date will be within 30 calendar days of the date of the award.

Question: Is there a preference for women-owned and minority-owned business?

Answer: No. The purpose of this Funding Opportunity Announcement is to invite proposals for funding from established organizations interested in providing innovative hands-on, in-person manufacturing training and technical assistance to eligible small manufacturing business known as 7(j) Management and Technical Assistance Program). All interested applicants are encouraged to carefully read through the entire Notice of Funding Opportunity and make their own decision as to whether they meet the stated eligibility requirements and purpose for this grant initiative. In short, SBA is seeking proposals that outline innovative workforce development approaches to address the current, unique challenges facing small manufacturing firms throughout the United States, and provide hands-on, in-person assistance to eligible small manufacturing firms.

Question: Do you want to see grants track record only for government grants? Or also grants from private foundations and city grants?

Answer: Applicants will be evaluated on their proposed approach for providing hands-on, in-person manufacturing training and technical assistance; their proposed methodology for evaluating and assessing the effectiveness and impact of their technical support; and the expected measurable outcomes and objectives proposed. Innovation and creativity in providing training assistance to E2G-eligible firms are strongly desired. Applicants must describe in detail the proposed technical assistance delivery methods and products, implementation of stated methods and products, and measurable evaluation criteria for the respective methods and products.

Question: Can this grant be used to complete construction on a new workforce training facility?

Answer: Funds provided under the E2G Program must be used solely for the purposes stipulated in this Funding Opportunity and the…