mbda business center ffo (fy 2011 re-compete).pdf

ANNOUNCEMENT OF FEDERAL FUNDING OPPORTUNITY

EXECUTIVE SUMMARY

Federal Agency Name: Minority Business Development Agency (MBDA/Agency)

Funding Opportunity Title: MBDA Business Center (MBC)

Announcement Type: Initial Announcement

FFO Number: MBDA-OBD-2011-2002950

CFDA Number: 11.805, MBDA Business Center Program

Dates: A completed application must be transmitted and time-stamped at www.Grants.gov no later than 11:59 p.m. Eastern Daylight-Saving Time (EDT) on May 5, 2011. Applications received after the closing date will not be considered.

Anticipated time for processing awards is approximately one hundred-twenty (120) days from the closing date for receipt of applications. MBDA anticipates awards will be made with a start date of September 1, 2011.

Funding Opportunity Description: This Federal Funding Opportunity (FFO) announces the anticipated availability for funding for the MBDA Business Center (MBC) program, and solicits competitive applications for operators of MBDA Business Centers in the specified locations. The services provided will be implemented to generate increased financing and contract opportunities and related awards to minority business enterprises (MBEs). In addition, the services provided will assist MBEs to create and retain jobs.

MBDA intends to award three (3) individual cooperative agreements pursuant to this FFO. The total award period for each of the MBC projects is expected to be five (5) years. Specific locations and funding amounts for the MBC projects are detailed in the table below and in Appendix A of the full text of the announcement.

Funding for this program has not yet been appropriated. MBDA anticipates a total of $855,000 in FY 2011 funds will be available to fund the financial assistance awards for the MBC projects identified in this FFO. The Agency also anticipates that $855,000 will be available in FY 2012 through FY 2015 to support continuation funding for this project.

Note: The MBC program is not a grant program to start or to expand an individual business. Applications must be to operate a MBC and to provide business consulting services to eligible minority-owned firms as set forth in this FFO. Applications that do not meet these requirements will not be considered by MBDA for funding.

http://www.grants.gov/

In accordance with Executive Order 11625 and 15 U.S.C. § 1512, MBDA is soliciting competitive applications from eligible organizations to operate a MBDA Business Center in the following locations:

MBDA National Enterprise Center (NEC or Regional

Office)

MBDA Business Center Location

(State, City)

Federal Funding Years 1-5

Competition

ID#

Chicago NEC One of the following cities:

Milwaukee, Wisconsin* Minneapolis, Minnesota*

$225,000 2228055

New York NEC One of the following cities:

Hartford, Connecticut* Stamford, Connecticut* Boston, Massachusetts* Queens, New York*

$275,000 2228057

San Francisco NEC One of the following counties in Southern California:** Kern, Orange, Riverside, San Bernardino, or San Diego

$355,000 2228059

*Applicants are required to choose one location from among the specific cities listed.

Only one location may be proposed within an application. The applicant must clearly identify which location was chosen. Applicants are limited to submitting one application per Competition ID.

**Applicants are required to choose one location from among the specific counties listed.

The applicant must clearly identify the specific city where the MBC project would be physically located and provide a justification for the proposed placement. Only one location may be proposed within an application. Applicants are limited to submitting one application per Competition ID.

Application Submission: Applications must be submitted electronically and time-stamped at www.Grants.gov by the closing date and time. MBDA will not accept hard-copy, facsimile or email transmission of applications. See section IV., Application Submission Information.

Pre-Application Teleconference: MBDA will conduct a pre-application teleconference on April 7, 2011. The time of the pre-application teleconference has yet to be determined. Participants must register at least 24 hours in advance of the conference.

Please visit the MBDA Internet Portal at www.mbda.gov for more information.

http://www.mbda.gov/

TABLE OF CONTENTS

Full Text of Announcement p.5

I. Funding Opportunity Description p.5 A. Program Objective p.5

1. Introduction p.5

2. Program Overview p.5

3. General Program Requirements p.6

4. Program Details and Work Requirements p.6 B. Program Priorities p.14 C. Program Authority p.15

II. Award Information p.15 A. Funding Availability p.15 B. Project/Award Period p.16 C. Type of Funding Instrument – Cooperative Agreement p.16

1. Post-Award Conference p.17

2. Training p.17

3. Network, Tools and Information Exchange p.17

4. Project Support p.17

5. Project Monitoring and Advisement p.18

III. Eligibility Information p.18 A. Eligible Applicants p.18 B. Non-Federal Cost Share Requirements p.18

IV. Application Submission Information p.19 A. Address to Request Application Package p.19 B. Content and Form of Application p.20

1. Cover Page p.21

2. Table of Contents p.21

3. Program Narrative p.21

4. Required Program Narrative Attachments p.23

5. Proposed Budget and Budget Narrative p.24

6. Service Innovation – Bonus Points p.26

7. Standard Forms p.26

8. Department of Commerce Forms p.26

9. Application Submission Checklist p.27

C. Submission Date and Time p.27 D. Intergovernmental Review p.27 E. Funding Restrictions p.27

1. Profits or Fees p.27

2. Indirect Costs p.28 F. Other Submission Requirements p.29

1. Electronic Submission p.29

V. Application Review Information p.29 A. Evaluation Criteria p.29

1. Program Narrative Criteria p.29

2. Proposed Budget and Budget Narrative Criteria p.30

3. Service Innovation (Optional) – Bonus Points p.30

B. Review and Selection Process p.31

1. Initial Screening p.31

2. MBDA Merit Review Panel p.31

3. MBDA Regional Director Review p.31

4. Final Selection and Recommendation for Funding p.32 C. Anticipated Announcement and Award Dates p.32

VI. Award Administration Information p.32 A. Award Notices p.32 B. Administrative and National Policy Requirements p.33 C. Reporting p.33

VII. Agency Contacts p.33

VIII. Other Information p.34 A. Past Performance and Non Compliance with Award Provisions p.34 B. Limitation of Liability p.34 C. Audit Costs p.34

D. Freedom of Information Act Disclosure p.34 E. Appendices to the FFO and MBC Program Requirement Documents p.35

APPENDICES

Appendix A: Anticipated Funding Availability by Center Location p.36

Appendix B: Estimated Performance Goals by Center Location p.37

Appendix C: Performance Measures and Related Definitions p.40

Appendix D: Information Technology and Computer Requirements p.45

Appendix E: MBC Training Requirements p.48

Appendix F: Sample Innovation Concepts p.52

Appendix G: Application Checklist p.54

FULL TEXT OF ANNOUNCEMENT

I. Funding Opportunity Description

A. Program Objective

1. Introduction

The Minority Business Development Agency (MBDA) is the only federal agency created specifically to foster the full participation and entrepreneurial parity of minority business enterprises (MBEs) in our national economy. MBDA actively promotes the growth and global competitiveness of U.S. businesses that are minority-owned by offering strategic deal-making and business consulting services through a nationwide network comprised of MBDA National Enterprise Centers (NECs), MBDA staff, Native American Business Enterprise Centers and the MBDA Business Center (MBC) program funded by the Agency.

The MBC program is a key component of MBDA’s overall portfolio of minority business development services, focusing on securing large public and/or private contracts and financing transactions, stimulating job creation and facilitating entry to global markets for “eligible minority-owned businesses.” For this purpose, business concerns that are owned or controlled by the following persons or groups of persons are eligible to receive business assistance services under the MBC Program: African Americans, Hispanic Americans, Asian and Pacific Islander Americans, Native Americans (including Alaska Natives, Alaska Native Corporations and Tribal entities), Asian Indian Americans and Hasidic Jewish Americans. See 15 CFR § 1400.1-.2 and Executive Order 11625.

2. Program Overview

The primary drivers of the MBDA MBC program are job creation and retention and the award of procurement/contract and financial transactions to MBEs. The MBCs provide services including, but not limited to, the development of a pool of contract and finance opportunities; direct matching of opportunities with qualified/vetted MBEs; execution of relationship management and deal sourcing initiatives (such as but not limited to industry clusters); assisting MBEs in accessing global market opportunities and financing;

identification and securing of alternative sources of capital for MBEs; promotion of the advantages of achieving size and scale; educating MBEs on the benefits of strategic growth alternatives (i.e. mergers, acquisitions and/or joint ventures); and provision of service referrals to MBEs of all sizes.

Through the cooperative agreements expected to be awarded under this FFO, MBDA seeks to establish a national network of public-private partnerships that will provide services aimed at increasing the probability of significant growth for minority-owned firms. MBC and MBDA staff will work collaboratively to improve access to market and financial opportunities (domestic and global), foster key industry relationships, and leverage business expertise. Operators of the MBC projects will work with the Agency and its network of funded centers to support and enhance the Agency’s initiatives, performance, brand, reach, customer service, and establishment of strategic partners.

Successful applicants will possess experience in assisting minority firms in obtaining large scale procurements/contracts and financing awards; accessing established supply chains; educating and assisting minority firms in joint ventures, teaming arrangements, mergers and acquisitions; and facilitating entry and large scale transactions in global markets. It is also anticipated that the mission of successful applicant organizations will align with both the mission of MBDA and the MBC program objectives.

MBC services are targeted towards assisting MBE clients achieve higher levels of growth and competitiveness. Start-up and/or micro firms will be served by the MBC program via strategic partnership referrals or electronic service delivery mechanisms (e.g., MBDA Business Portal). While the MBC program serves all MBEs, target clients include eligible MBEs with one or both of the following characteristics: (1) annual revenues of over $1,000,000 or (2) participant in a high-growth industry (e.g., green technology, clean energy, health care, infrastructure and broadband technology, among others).

Promoting the success of MBEs is anticipated to have a significant impact on employment and the tax base in their communities.

Each MBC is part of a broader MBDA network and must be able to collaborate with both Agency staff and other funded centers. MBDA anticipates the MBC would, to the best of its abilities, provide services to those firms beyond a reasonable distance through virtual communications. The physical locations for each MBC are outlined in Appendix A of this FFO.

Although a MBC must have a physical office location as designated by MBDA within this announcement, a MBC may serve MBEs nationwide.

3. General Program Requirements

The MBC program generally requires project staff to: (1) directly provide high-level business development services to eligible MBEs; (2) develop and maintain a network of strategic partnerships; (3) provide collaborative consulting services with MBDA, other MBDA funded programs and strategic partners; and (4) provide referral services to clients. The MBCs will assist eligible MBEs in accessing federal and non-federal contracting and financing opportunities (domestically and globally) that result in demonstrable client outcomes and job creation/retention.

MBDA has developed a variety of information technology tools to augment the Agency’s ability to assist the minority business community. The Agency uses a high-speed network strategy that links all of its funded projects into a single virtual organization. All funded projects will have access to this technology through the MBDA Business Portal (www.mbda.gov). MBC operators and staff are required to attend certain MBDA training programs, designed to increase operational efficiency and provide value-added client services (See Appendix E, MBC Training Requirements).

4. Program Details and Work Requirements

The MBC is required to perform work in three (3) basic areas: (a) client services; (b) program promotion and advocacy; and, (c) operational and performance management.

These elements are designed to: (1) identify immediate and long-term client needs and expectations; (2) establish projected growth tracks; (3) implement targeted plans of action for increasing size, scale and capacity; (4) provide strategic referrals; (5) increase the exposure and visibility of the MBC program and MBEs; (6) maintain the quality of center operations; and (7) promote achievement of client outcomes.

a. Client Services – The MBC shall assist eligible MBEs (which have agreed in writing to become MBC clients) in successfully growing their businesses and competing in domestic and global markets. MBCs shall provide direct client assistance to MBEs through business consulting, Business-to-Business (B2B) Linkage Forums, relationship brokering, strategic referrals and deal-making.

All new clients and related work efforts shall be entered into MBDA’s Performance/ Customer Relationship Management (CRM) system. The MBC is required to enter client information, service effort and description, awarded transactions and job creation/ retention into the Performance/CRM system within seventy-two (72) hours from the time of service.

Client services include, but are not limited to, the following types of assistance:

i. Client Assessment and Engagement - This is defined as a fundamental MBC business practice. This activity should be conducted prior to the onset of service delivery. A client assessment requires an interview to be completed between the prospective MBE client and an MBC employee or representative. MBDA will provide an electronic tool (use is optional) to support this function. The MBC will ensure that a written agreement is executed with each client that specifies services to be provided. This engagement must be individually tailored to the specific needs of each client and include a course of action for assisting the client in reaching its strategic growth goals. In the case of group events, a summary engagement can be provided to the prospective MBE client. Client assessment and engagement services are designed to provide:

Background and contact information on the client;

Client business analysis that includes core competency, organizational structure, market and industry placement, production of products/delivery of services, marketing plan, resources and financial viability;

Analysis and benchmarking of the client capabilities;

Development of a tailored service plan; and, Identification of resources and referrals, used in conjunction with MBC direct assistance.

MBEs receiving referral services only, do not require written client assessments or work agreements. The MBC must ensure that MBE intake information is accurately recorded in the MBDA CRM system.

ii. Access to Markets - These activities, aimed at increasing MBE revenue growth, include, but are not limited to:

Identifying procurement opportunities based on client needs, and sourcing deals;

Developing and maintaining strategic alliances with purchasing executives and government procurement officials;

Engaging in deal-making between purchasing organizations and minority firms, and assisting in bringing transactions to closure;

Conducting B2B forums, procurement/contract matchmaking events, opportunity fairs and networking events between MBEs and potential contract sources;

Educating and assisting in the development of joint ventures, teaming arrangements, strategic alliances, and mergers and acquisitions;

Solicitation analysis and bid/proposal preparation assistance;

Identifying potential export markets, facilitating global transactions and providing referrals to international trade programs and services; and, Conducting market analysis and market promotion assistance.

iii. Access to Capital - The goal of the access to capital activities is to help entrepreneurs obtain appropriate financing for business growth. Activities in this area include, but are not limited to:

Identifying financing opportunities based on client needs, and sourcing deals;

Developing and maintaining strategic alliances with banking officials and other financial resources;

Brokering of financial transactions by establishing relationships between pre-qualified clients and sources of financing;

Financial Assistance, e.g., identification, preparation and packaging of standard commercial and alternative debt, bonding, leases (property and equipment), equity, mezzanine financing, factoring and trade credits;

Identification and closure of opportunities for mergers and acquisitions;

Conducting financing forums and networking events between MBEs and potential financing sources; and, Conducting cost analysis.

iv. Strategic Business Consulting - This activity involves providing tailored business consulting services directed towards assisting MBC clients achieve higher levels of growth and competitiveness. Strategic business consulting services include, but are not limited to the following:

Marketing, e.g., market research, promotion, advertising and sales, sales forecasting, market feasibility studies, pricing, product and customer service, brochure design;

Financial Management, e.g., capital budgeting, general accounting, break-even analysis, cost accounting, financial planning and analysis budgeting, tax planning, business consulting (excluding bookkeeping, tax preparation, and audits);

Operations & Quality Management, e.g.:

o Manufacturing - facility lease;

o Construction - estimating, bid preparation, and bonding;

o International Trade Assistance - exporting, importing, letters of credit, bank draft, distributorship, exporting trading companies, and joint ventures;

General Management, e.g., organization and structure, formulating corporate policy, feasibility studies, legal services (excluding litigation), business planning, and organizational development.

The MBC shall not perform or engage in the day-to-day operations of, or make decisions for, its clients.

b. Program Promotion and Advocacy – is designed to promote MBDA program activities within the business community, facilitate the identification of potential clients, and to identify and develop public and private sector resources and business opportunities for clients.

i. Market Research and Development - Systematically investigate the market (locally, statewide, nationwide and globally) to determine what business and capital opportunities exist for MBE development, contract opportunities, and business acquisitions. The MBC will make optimum use of the MBDA network to ensure that the information is made available to MBEs throughout the country.

ii. Program Promotion - The MBC will increase minority business development by obtaining support for the program and promoting the utilization of MBEs.

The MBC will: (1) develop a MBC brochure for distribution; (2) develop a MBC directory of staff and services offered for inclusion on the MBDA Portal; and, (3) adhere to MBDA’s communication plan (see Operational Quality, under this section).

The MBC shall promote and participate in the National Minority Enterprise

Development (MED) Week activities and other events as detailed in Appendix E, “MBC Training Requirements.”

The MBC shall participate in and support designated regional Business-to- Business (B2B) Linkage Forums throughout the award period. Conducted by MBDA National Enterprise Centers (also referred to as regional offices), these events bring together MBEs for potential business-to-business teaming arrangements. The objective of the B2B is to build MBE capacity to compete for larger awards and in turn increase MBC performance.

iii. CommerceConnect - If and when requested by MBDA, the MBC must provide support services to CommerceConnect. CommerceConnect is a U.S. Department of Commerce initiative launched by Secretary Gary Locke in October 2009 to make businesses more competitive and create jobs by bringing all of the Department of Commerce's services together under one roof. CommerceConnect is focused on integrating Commerce Department programs to help businesses at every point of their life cycle. Ultimately, the CommerceConnect initiative aims to create a virtual "one-stop shop" for information, counseling, and government services that can help U.S. businesses around the country transform themselves into globally-competitive enterprises.

MBDA and its network of funded centers will be trained in the broad range of programs the Department of Commerce (DOC) offers. General duties may include: (a) developing a working knowledge of DOC and partner programs; (b) providing telephone or email referrals to identified DOC points of contact; and (c) recording caller contact information and referral action. Centers will receive training on how to execute this requirement (see Appendix E, “MBC Training Requirements”).

iv. Develop and Maintain a Network of Strategic Partners - Strategic partnerships are established to assist the center with: (1) generating successful contract and financial transactions; (2) creating new jobs and/or retain existing jobs; (3) helping MBEs to achieve size and scale; (4) assisting MBEs achieve globalization, and (5) developing referral sources for MBEs that do not meet the targeted client criteria. Strategic partnerships must be documented in writing through a Memorandum of Understanding (MOU) or similar agreement that records the terms and conditions of the partnership.

A minimum of five (5) strategic partners must be established by the MBC within sixty (60) days after receipt of the award and maintained throughout the life of the award. MBDA must be notified in writing if the MBC is replacing a partner. It is required that terminated partnerships be replaced within forty-five (45) days after termination. Before the MBC can claim a strategic partnership, it must be reviewed by the Federal Program Officer to determine whether the proposed relationship is likely to assist the MBC in serving its client base and is consistent with the overall goals and objectives of the MBC program. MBDA shall have no responsibility or obligations to the MBC’s strategic partners.

Examples of MBC strategic partners include, but are not limited to: (1) large purchasing organizations; (2) banks and financial institutions; (3) state, county or city governments; (4) chambers of commerce or trade associations; (5) U.S.

Export Assistance Centers, Procurement Technical Assistance Centers; (6) Small Business Development Centers; (7) community development corporations; (8) technology-based economic development organizations; and, (9) other organizations interested in furthering the growth and global competitiveness of MBEs.

v. Resource Development - Requires the MBC to identify and electronically record on the MBDA Portal sources of the following:

Market Opportunities – e.g., public (federal, state and local government) and private (domestic and foreign) sector contracting opportunities;

Capital Resources - e.g., standard commercial and alternative debt (loans, lines of credit, etc.), equity, and mezzanine financing, bonds (performance and surety), and trade credit opportunities;

Business Ownership Opportunities- e.g., franchises, licensing arrangements, mergers and buy-outs;

Education and Training Resources - e.g., educational institution programs and other training resources; and, Registration of MBEs – e.g., register eligible local MBEs in MBDA’s CRM system.

c. Operational and Performance Requirements – provides for the implementation and overall management of the program, including achievement of MBC performance goals.

i. Establishment of Office - The physical location of the office must be within the applicable area specified in this FFO. The project operator must open a physical office and be fully operational within sixty (60) days after receipt of the award.

Fully operational means that all staff is hired, all required signs are up, all items of furniture and equipment (e.g., computer hardware, software, Internet services, phones, faxes, etc.) are in place, and the MBC’s doors have been fully opened to the public for service. Within sixty (60) days after receipt of the award, the project operator shall report via Grants Online to the Federal Program Officer that it has complied with this requirement. Failure to be fully operational within sixty

(60) days may result in appropriate enforcement action under the award, up to and including termination. If the MBC is co-located with the operator, it must have a “separate identity” that must include, but is not limited to, appropriate signage and working offices for MBC staff that are visually independent (or are perceived as standing apart) from the operator’s non-MBC operations and personnel.

The MBC must be accessible to disabled persons and strategically situated in the applicable location to ensure that it is: (1) close to available business resources;

(2) within a reasonable commuting distance to the minority business community;

and (3) professional in appearance and conducive to support the MBC’s brand.

The MBC operator must provide services to eligible clients. Services can be delivered face-to-face or virtually. MBDA calls and emails to the program operator and/or the project director must be returned within 24 hours. In addition, the MBC operator and project director shall provide MBDA and other authorized federal government officials with prompt accessibility to the center upon request.

Within sixty (60) days after receipt of the award, the project operator shall report via Grants Online to the Federal Program Officer, and to the MBDA CIO of the Office of Information Technology, Research and Innovation that it has complied with all information technology requirements as specified in Appendix D, “Information Technology and Computer Requirements.” Within sixty (60) days after receipt of the award, the project operator shall also report the name, contact telephone number and email address of the project director, MBC staff and of the network or system administrator.

ii. Personnel - Each project operator is required to have a project director employed and dedicated on a full-time basis to the MBC project, who is removed from any competing interests. The project director is vital to the MBC and is viewed as the project operator’s key representative to ensure the MBC achieves its performance goals. The project director must possess suitable management and business qualifications, including a minimum of a bachelor’s degree or equivalent experience in a business related field. Failure to hire a project director within sixty (60) days may result in enforcement action under the award, including the withholding of award payments.

The selection of a project director requires the MBDA Federal Program Officer (FPO) in consultation with the respective Regional Director to conduct a review of candidate qualifications. The project operator shall submit to the FPO at the onset of competition and/or after an award is issued, the proposed project director’s resume and three (minimum) professional references. The FPO may also conduct an interview of the proposed candidate. Successful candidates will be recommended to the Grants Officer via the FPO for final approval.

The project operator shall employ personnel with the ability to develop and manage strategic relationships that enhance the center’s ability to source contracts, counsel minority firms on securing large contract and financial transactions, assist clients in negotiations with purchasing organizations and financing institutions, coordinate and collaborate on client service efforts, actively promote the brand of the center and advise MBEs on accessing global markets as outlined in Section I.A.4., “Program Details and Work Requirements.” All consulting personnel should have a minimum of a bachelor’s degree or equivalent experience.

MBC personnel working with clients must possess the ability to: (1) promote and demonstrate value of services offered to the client; (2) generate program income;

(3) track service delivery on a regular basis; (4) collect performance data; and (5) ensure operational quality standards are met. All personnel being charged to the program must directly contribute to the operation of the program.

Staff vacancies shall be filled promptly. Vacancies beyond forty-five (45) days may result in appropriate enforcement action under the award, up to and including termination

iii. Operational Quality - The project operator must maintain the efficiency and effectiveness of its overall operations as well as the quality of its client services.

Under this function, the MBC shall:

(a) Execute signed work plan agreements and engagements with clients;

(b) Input data, progress, best practices and results into the MBDA Performance/CRM system within seventy-two (72) hours of the time of service and/or receipt of documentation;

(c) Establish procedures for collecting and accounting for all fees charged to clients;

(d) Maintain records/files for all work charged to the program and clients;

(e) Ensure all files are properly recorded and supported by client MBE self-certification, MBDA data privacy notice, needs assessment, work assignments, finished work products, awarded transactions, etc.;

(f) Obtain required verification documentation for any of the performance measures claimed (See Appendix C, Performance Measures and Related Definitions);

(g) Comply with all reporting requirements that are established as the terms of the award;

(h) Cooperate with MBDA in maintaining content for the Performance/CRM system, PartnerNet system and other available online tools located at www.mbda.gov; and

(i) Adhere to MBDA’s trademark and licensing requirements for all forms of communication. A communication guide and logo will be made available to the operator at the post-award conference.

The term MBDA Business Center (MBC) is a trademark of the Federal Government and the Government reserves exclusive rights in the term.

Permission to use the term is granted to the project operator for the sole purpose of representing the activities of the operator in the fulfillment of the terms of the financial assistance award.

The MBC is not authorized to use either the Department of Commerce’s (DOC) official seal or the MBDA logo in any of its electronic and/or printed publications, documents or other materials without prior written approval from the Department of Commerce or from MBDA (as the case may be).

The operator must make a good faith effort to support the MBC program, MBDA and the Department of Commerce’s policies and initiatives.

iv. Program Performance Measures and Performance Ratings

(a) Performance Measures

The program performance of each MBC is evaluated by MBDA based on specific performance elements, which are assigned weighted values. MBC operators will be awarded points with respect to each performance element through defined work activities that lead to successful client outcomes. Specifically, performance points will be awarded by MBDA in proportion to the project operator’s satisfaction of the performance goals set forth in the application and incorporated into the terms and conditions of the award.

See Appendix C, “Performance Measures and Related Definitions,”

(www.mbda.gov) for a detailed listing of the MBC performance measures, performance reporting requirements and related definitions.

http://www.mbda.gov;/

(b) Performance Ratings

The MBC operator is expected to achieve an overall “Commendable” (or better) performance rating for each funding period, and will be assigned a performance rating by MBDA for each of the five funding periods based on the below rating system:

MBC PERFORMANCE SCALE

Performance Ratings Overall Points Required

Outstanding 100.0* & above Commendable 90.0 – 99.9 Good 80.0 – 89.9 Satisfactory 75.0 – 79.9 Unsatisfactory 74.9 & below

*Not to exceed 160 Points

Failure to maintain at least a “Satisfactory” performance rating may result in designation of the recipient as high risk (including assignment of special award conditions) and/or other further action under the award, up to and including award termination.

(c) Performance Goals

Suggested performance requirements for each MBC project location for the five funding periods are listed in Appendix B, “Estimated Performance Goals by Center Location,” of this FFO. Applicants should propose performance goals for the each of the five funding periods (and in each category) that are realistic for the economic conditions and available opportunities for the applicable location.

Proposing higher than estimated goals without a corresponding methodology for accomplishment or lower than estimated goals without a corresponding justification may demonstrate a lack of knowledge of the market place and may adversely impact MBDA’s evaluation of the application. Accordingly, applicants should carefully consider the feasibility of the performance goals proposed in the application. In addition, MBDA may negotiate proposed performance goals with the apparent winner of an award competition prior to offering an award.

Detailed program performance related definitions and reporting requirements are found in Appendix C, “Performance Measures and Related Definitions.”

B. Program Priorities

Preference may be given during the selection process to applications that effectively address one or more of the following MBDA program priorities:

1. Applicants who demonstrate experience in assisting MBEs in obtaining large scale contracts and financing awards and accessing established supply chains;

2. Applicants who demonstrate a track record of facilitating large scale transactions for MBEs in global markets, or facilitating entry into global markets;

3. Applicants who demonstrate a track record of assisting MBEs in joint ventures, teaming arrangements, mergers and acquisitions;

4. Applicants who demonstrate a track record of successfully partnering and collaborating with third-party entities for the benefit of MBEs;

5. Applicants who demonstrate experience working with MBEs in high-growth industries;

6. Applicants who demonstrate the capacity and willingness to assist MBEs in identifying and accessing federal procurement opportunities, either directly or via partnerships;

7. Proposals that direct 80% or more of the federal funding for the project towards direct business consulting staff costs (i.e., direct consulting staff salaries and fringe benefits, travel costs and training costs); and

8. Applicants who propose innovative additions to the MBC program that significantly enhance their opportunity to be successful (See Appendix F of the FFO for samples of possible additions that can be developed, enhanced and proposed by applicants).

C. Program Authority

MBDA is authorized in accordance with Executive Order 11625 and 15 U.S.C. § 1512, to solicit competitive applications from eligible organizations for the Minority Business Center program.

II. Award Information

A. Funding Availability

Funding for this program has not yet been appropriated. MBDA anticipates a total of $855,000 in FY 2011 funds will be available to fund the financial assistance awards for the MBC projects identified in this FFO. The Agency also anticipates that $855,000 will be available in FY 2012 through FY 2015 to support continuation funding for this program. MBC funding levels are generally based on the size and ranking of minority populations, the overall number of minority firms as established by MBDA and U.S.

Census Bureau data, and other available research and data.

It is anticipated that awards made under this solicitation will be for a five year award period, with consecutive one year funding periods. The anticipated amount of the federal funding for each MBC project for each of the five (5) program years is listed in Appendix A, “Funding Availability by Center Location,” for each center being competed under this FFO. The non-federal cost sharing requirements under the MBC program are discussed in Section III.B. of this FFO.

The funding periods and funding amounts referenced in this FFO are subject to the availability of appropriated funds, as well as to Department of Commerce and MBDA priorities at the time of award. FY 2011 funds have not yet been made available to MBDA to fund the MBC projects identified in this FFO. In no event will the Department of Commerce or MBDA be responsible for proposal preparation costs if this program fails to receive funding or is cancelled because of other MBDA or Department of Commerce priorities. All funding periods under the award are subject to the availability of funds to support the continuation of the project. Publication of this FFO does not obligate the Department of Commerce or MBDA to award any specific cooperative agreement or to obligate all or any part of available funds.

Federal funds should be fully expended by the MBC operator during each funding period and are not permitted to be carried-over to subsequent funding periods. The MBC operator’s failure to fully expend annual federal award funds may result in the reduction of federal funding allocated by MBDA to subsequent funding periods under the award.

B. Project/Award Period

Awards are expected to be made with a start date of September 1, 2011. The award period under this solicitation is anticipated to be five (5) years, with five consecutive funding periods. Applicants must submit project plans and budgets for each of the five (5) funding periods.

Projects will initially be funded for the first award year of the award. A project operator will not compete for funding in years two through five, as long as the center is operating at a “Commendable” or “Outstanding” performance level at the time during the current program year that MBDA determines its recommendations to the Grants Officer for continuation funding for the next program year. A project that achieves a performance rating of “Good” or lower will not qualify for automatic renewal, but rather will be eligible for negotiation of award terms and conditions for the next funding period at the discretion of MBDA, subject to the approval of the Grants Officer.

In this respect, recommendations for continuation funding are generally evaluated by MBDA based on the mid-year performance rating and/or a combination of the mid-year and cumulative third quarter performance ratings for the current program year. In making such continued funding determinations, MBDA and the Department of Commerce will consider all the facts and circumstances of each case, such as, but not limited to, market conditions, most recent performance of the project and other mitigating circumstances.

C. Type of Funding Instrument

Financial assistance awards in the form of cooperative agreements will be used to fund the MBC Program.

MBDA shall maintain substantial involvement with the project operator throughout the award period. MBDA will perform the following duties to further the objectives of the MBC program:

1. Post-Award Conference

MBDA shall conduct a mandatory post-award conference for the new MBC awards to help ensure that the MBC operator has a clear understanding of the program and its components. During the post-award conference, MBDA will: (1) orient MBC program officers; (2) explain program reporting requirements and procedures; (3) identify available resources that can enhance the capabilities of the MBC; and (4) provide detailed information about MBDA's Business Internet Portal and other information systems.

2. Training

MBDA shall conduct various qualitative training sessions for the MBC staff (subject to the availability of funds and training resources). The training sessions are mandatory (except where otherwise indicated) and are designed in large part to improve communications, understandings, client service delivery, performance and reporting. The MBC training requirements are set forth in Appendix E, “MBC Training Requirements.”

The MBC applicant is required to allocate appropriate personnel and funds to support all training programs (See Appendix E). The MBC applicant is required to generate program income and, consistent with the requirements of this FFO that program income must further eligible project purposes, is encouraged to apply these financial resources to support training requirements under this award.

3. Network, Tools and Information Exchange

MBDA shall provide access through its Business Internet Portal (www.mbda.gov) to various technologies and business development tools intended to help streamline and enhance the process of delivering client services and promote the consistency of services provided by operators throughout the MBDA network. MBDA requires regular and ongoing use of these tools. MBDA will provide an orientation to successful applicants on how this technology can be leveraged by the centers to augment service delivery.

4. Project Support

MBDA expects to further support the MBC Program by:

o Providing client and strategic support through the respective MBDA National

Enterprise Center NEC (regional office) and Headquarter staff;

o Providing a singular internet presence that supports each local center and overall program brand;

o Expanding the MBDA data bank of minority-owned firms and facilitating the exchange of business opportunity information within the MBDA network;

o Providing general program information, guidance and support as well as a help line for questions related to the MBDA Performance/CRM System;

o Providing project monitoring and advisement;

o Providing year-to-date performance transparency;

o Providing program accountability with respect to verification services; and, o Providing general program systems and support that foster collaboration among the MBDA network through the MBDA’s PartnerNet.

5. Project Monitoring and Advisement

Each MBC project is a five-year award funded for consecutive one year periods.

Continued funding of the awards is subject to the terms and conditions as outlined in this FFO. As such, MBDA will systematically monitor the performance of the MBC, as provided under the management assessment performance measure (See Appendix C, “Performance Measures and Related Definitions”). This monitoring includes regular review of the MBC’s data input to the Performance/CRM system.

MBDA will conduct the following performance assessments for each funding period: the 1st semi-annual performance period (September 1 – February 28), and cumulative year-end performance period (September 1 – August 31). These assessments are based on the MBC’s timely submission of its required performance narrative reports.

MBDA will conduct an initial and periodic on-site assessment of the MBC to verify the center’s performance/claims, including but not limited to a review of client files, program income, and overall operations. MBDA may also conduct a review of reported assistance by surveying and/or interviewing the clients assisted by the center.

MBDA will assess the center’s effectiveness in providing business development services to their respective minority business communities. MBDA will then provide a report of findings and recommendations for improvement as a result of evaluations and monitoring visits. MBDA will approve qualifications of key MBC staff and respond to MBC requests for MBDA action.

MBDA may conduct a consultation with a MBC that is operating at an unsatisfactory performance level. This consultation is designed to assist the center through collaborative support. The MBC may be required to develop a performance improvement plan based on MBDA’s findings, suggestions and recommendations. In addition, MBCs performing at an unsatisfactory level are subject to enforcement actions under the award, up to and including termination.

III. Eligibility Information

A. Eligible Applicants

For-profit entities (including but not limited to sole-proprietorships, partnerships, limited liability companies and corporations), non-profit organizations, state and local government entities, American Indian Tribes and educational institutions are eligible to apply to operate MBCs.

B. Non-Federal Cost Share Requirement

There is no predefined minimum or maximum amount of required non-federal cost sharing under the MBC program. However, as discussed below, non-federal cost sharing through the generation of “program income” is mandatory. Non-federal cost share is the portion of the total project costs not borne by the Federal Government.

Beyond the required generation of program income, applicants may contribute additional non-federal cost share to the award by one or more of the following methods: (1) applicant cash contributions; (2) applicant in-kind (i.e., non-cash) contributions; or, (3) third-party cash or in-kind contributions (including a state or local grant or other form of support for the project).

The MBC program is a fee-for-service program and MBC operators are required to generate “program income” through the collection of client fees, membership fees, success fees and/or other fee structures proposed by the applicant. All proposed fee structures must be acceptable to MBDA and approved by the Grants Officer. Program income identified by the applicant in the project’s proposed budget and approved by the Grants Officer must be applied directly to the award’s non-federal cost share and must be used in furtherance of program objectives. In addition, for each funding period under the award, the MBC operator will generally be required to contribute cash or another acceptable form of non-federal cost share to the award to compensate for uncollected program income that was included in the approved project budget.

If the MBC project generates more program income during a funding period than is allocated to the award’s non-federal cost share for such funding period, the excess program income must be used by the MBC operator in furtherance of eligible project objectives. Subject to written approval by the Grants Officer, program income generated by an MBC project that cannot be expended during the funding period in which it is earned (i.e., when unanticipated program income is obtained towards the end of the funding period) may be carried forward by the MBC operator for one year only to be expended in furtherance of project objectives in the award’s next subsequent funding period. However, excess program generated during one funding period may not be carried back by the MBC operator to fund non-federal cost share shortfalls in prior funding periods. In addition, program income that is not (1) expended in furtherance of project objectives, (2) carried forward for expenditure in the succeeding funding period with written approval of the Grants Officer or (3) used for completion of the work by the end of the overall award period will be deducted from the project’s total allowable cost.

Any of the aforementioned circumstances may result in the MBC operator being required to reimburse MBDA for some, or all, of the federal share disbursed to the operator under the MBC award. See the “Program Income” discussion in the Proposed Budget and Narrative portion of Section IV.B. of the FFO for additional information on this requirement.

IV. Application Submission Information

A. Address to Request Application Package

All application materials and forms are available at the Grants.gov website (http://www.Grants.gov). Additional competition materials, such as an unofficial panel review form, can be found on the MBDA Internet Portal (www.mbda.gov).

Applications must be transmitted electronically via www.grants.gov and received by MBDA by 11:59 p.m. Eastern Daylight-Saving Time (EDT) on May 5, 2011. The electronic submission will receive a date and time stamp at www.grants.gov and be processed after it is fully uploaded. The time it takes to completely upload an application will vary depending on a number of factors, including the size of the application, the speed of the applicant’s Internet connection, and the time it takes www.grants.gov to process the application. If www.grants.gov rejects the application, the applicant will need to resubmit successfully before the deadline date. The www.grants.gov time stamp will be considered the date and time of submission receipt.

Register early and submit early. In order to submit an application through www.grants.gov, applicants first must register for a www.grants.gov user ID and password. Note that this process can take between three to five business days or as long as four weeks if all steps are not completed correctly. To avoid delays, MBDA strongly recommends that applicants start early and not wait until the approaching deadline date before logging on, registering at www.grants.gov, reviewing the application instructions, and applying. Information about the www.grants.gov registration process can be found at http://www.grants.gov/applicants/get_registered.jsp.

Applicants should register as organizations, not as individuals. As part of the registration process, the applicant must register an Authorized Organizational Representative (AOR) for the organization. AORs registered at www.grants.gov are the only officials with the authority to submit applications at www.grants.gov. Ensure that the organization’s application is submitted by its AOR.